The article studies the theoretical and practical approaches related to allocation of oil revenues for public investment. Based on two-step Engel-Granger procedure cointegration analysis, relationship between ratio capital expenditures state budget non-oil GDP logarithm real prices in Azerbaijan is investigated. It has been determined that investment highly dependent price, volatility price als...

This paper examines the competitiveness of winner-take-all price competition in homogeneous product oligopoly environments where underlying buyer demands and/or firms’ costs need not be continuous. Our analysis is motivated by the observation that a variety of economic settings have these features. For example, in 1996 an Ivy League university solicited bids from several vendors for its initiat...

This paper addresses the possibility of capacity withholding by energy producers, who seek to increase the market price and their own profits. The energy market is simulated as an iterative game, where each state game corresponds to an hourly energy auction with uniform pricing mechanism. The producers are modeled as agents that interact with their environment through reinforcement learning (RL...

We revisit a foundational theoretical paper in the menu cost literature, Sheshinski and Weiss (1983), one of the few to treat stochastic inflation with persistent deviations from trend. In contrast to the original finding, we find that optimal pricing in this environment entails using different (s, S) bands in high-inflation and low-inflation states of the world. The low-inflation band is stric...

ABSTRACT In recent years, RTB(Real Time Bidding) becomes a popular online advertisement trading method. During the auction, each DSP(Demand Side Platform) is supposed to evaluate current opportunity and respond with an ad and corresponding bid price. It’s essential for DSP to find an optimal ad selection and bid price determination strategy which maximizes revenue or performance under budget an...

p olicy makers in housing sector seeks to use instruments by which they can control volatility of housing price and prevent high disturbances of the bubble and price shocks, or at least, reduce them. in the portfolio and speculation theories, it is emphasized that speculative demand for housing is the main cause of shocks and price volatilities in the sector. the theory of housing price bubble ...

According to static models of industrial organization, a rise in competition decreases prices. In this paper, I test whether this conclusion can be reversed in the mobile telecommunications markets where dynamic e ciency e ects might be signi cant. The empirical test relies on the change in the intensity of competition introduced by the entry of the fourth mobile operator in France and the merg...

The importance of disturbances in financial markets for real economic activity and the positive association between price level and output movements typically are explained by appeal to a combination of nominal aggregate demand shocks (particularly money-supply shocks) and rigid prices. We argue that this view is inconsistent with evidence for short-run responsiveness of prices and gold flows t...

Selfish Network Creation focuses on modeling real world networks from a game-theoretic point of view. One of the classic models by Fabrikant et al. [PODC’03] is the network creation game, where agents correspond to nodes in a network which buy incident edges for the price of α per edge to minimize their total distance to all other nodes. The model is well-studied but still has intriguing open p...

The standard derivation of the accelerationist Phillips curve relates expected real wage innation to the unemployment rate and invokes a constant price markup and adaptive expectations to generate the accelerationist price innation formula. Blanchhower and Oswald (1994) argue that microeconomic evidence of a low autoregression coeecient in real wage regressions invalidates the macroeconomic Phi...