This paper studies stationary equilibria of a production economy with a continuum of heterogeneous consumers subject to borrowing constraints and individual Markov endowment shocks. The existence of a stationary equilibrium is established. The equilibrium interest rate is less than the rate of time preference of the most patient consumer provided a constraint that restricts the borrowing limit ...

In this paper we show that competitive equilibrium prices and margin requirements naturally lead to too much leverage relative to the constrained optimum. We describe two mechanisms through which equilibrium forces lead agents to borrow too much and to hold too little collateral. To illustrate the first mechanism we present a very simple example without collateral and default where restricting ...

When future human capital cannot be alienated, households are allowed to borrow up to the point where it is in their own interest not to default. In such a framework, endogenous borrowing limits arise as the outcome of individual rationality constraint. In a model where education is the engine of growth, we show that endogenous borrowing constraints imply global indeterminacy. Comparing outcome...

Small and Medium Enterprise (SME) contributes 98% of the economy in Hong Kong. However, the semi-structured nature of finance optimization problems is still unsolved in financial decisions, especially in the construction industry. The research presented in this paper illustrates an adaptive genetic algorithm (AGA) approach to the selection of funding schemes by a modified construction loan acqu...

The widespread deployment of wireless cellular technology affects the traditional concept of channel allocation and drives the necessity for novel load balancing techniques. Various load-balancing schemes have been proposed to assign channels to the cells such that the available channels are efficiently used and thus channel reuse, maximized. This is particularly important in networks where tra...

In an integrated global financial system, a sovereign default raises concerns of financial contagion to other countries. We develop and estimate an equilibrium model featuring a network of international borrowing and lending. In the model, the network structure of borrowing-lending relationships arises endogenously and results in the propagation of financial shocks across countries. We estimate...

By Bulgarian anatomical terms we mean the names established by scientific tradition, duplicating the Latin anatomical terms and coined with the means of the Bulgarian language or loan-words which are grammatically integrated (assimilated) into the Bulgarian anatomical text and are written in the Cyrillic alphabet. In their integrity and systemic relationships, the Bulgarian anatomical terms mak...

Figure 2: Simulated (left) and in vivo (right) ADC point estimates without adaptive smoothing (a and e) and with adaptive smoothing (b and f). ADC uncertainties with adaptive smoothing (c and g) and without adaptive smoothing (d and h). On all maps with adaptive smoothing, the borrowing strength is shown by a border around each pixel; bright lines indicate strong borrowing; dark lines indicate ...

Consumer confidence plays an important role in households' decision-making processes. This study investigates the effects of consumer confidence on household saving and borrowing behavior that are unsatisfactorily considered in previous discussions. The questions of interest are first, whether indexes of consumer confidence have any predictive power on their own for future household saving and ...

Abstmcr-CDMA cellular systems use soft handoff. Although the capacity of CDMA systems is interference-limited in nature, channel shortages may occur because soft handoff uses several channels simultaneously. To cope with this problem, we propose an improved handoff method which borrows channels from stationary calls participating in soft handoff and allocates the borrowed channels to handoff re...