Scientific understanding of aerosol-cloud interactions can profit from an analysis of the transition regions between pure aerosol and pure clouds as detected in satellite data. This study identifies and evaluates pixels in this region by analysing the residual areas of aerosol and cloud products from the Moderate Resolution Imaging Radiometer (MODIS) satellite sensor. These pixels are expected ...

An absorbing game is a repeated game where some of the action combinations are absorbing, in the sense that whenever they are played, there is a positive probability that the game terminates, and the players receive some terminal payoff at every future stage. We prove that every n-player absorbing game admits a correlated equilibrium. In other words, for every > 0 there exists a probability dis...

An absorbing game is a repeated game where some action combinations are absorbing, in the sense that whenever they are played, there is a positive probability that the game terminates, and the players receive some terminal payo¤ at every future stage. We prove that every multi-player absorbing game admits a correlated equilibrium payo¤. In other words, for every e > 0 there exists a probability...

This paper shows how to decompose the dollar profit earned from an option into two basic components: ¶ mispricing of the option relative to the asset at the time of purchase, and · profit from subsequent fortuitous changes or mispricing of the underlying asset. This separation hinges on measuring the “true relative value” of the option from its realized payoff. The payoff from any one option ha...

This paper is intended to provide a detailed game-theoretical analysis of the buyer-vendor coordination problem embedded in the price-discount inventory model. Pure and mixed, cooperative and non-cooperative strategies are developed. Highlights of the paper include the full characterization of the Pareto optimal set, the determination of profit-sharing mechanisms for the cooperative case and th...

Price coordination can be very harmful for consumers. Yet, even if a cartel is proved to exist, and successful in enforcement, how do we estimate damages or price overcharges to consumers? We build a structural model of the Irish automobile market that avails of a crosssection of new cars and jointly estimate demand and cost primitives. We use these estimates to quantify the role that price coo...

We investigate the relationship between pay, supervision and employee sharing. Our results suggest an inverse relationship between supervision and pay across both sharing and non-sharing firms, although the trade-off is somewhat assuaged within the former. This would appear to contradict instrumental efficiency wage considerations, but could be rationalised within a gift-exchange context. In te...

We investigate the role of incentives set by a parent firm for competition among its subsidiaries. In a Cournot experiment four subsidiaries of the same parent operate in the same market. Parents earn a specific share of the joint profit and can choose how to distribute the remaining surplus (or loss). Results show that parents allocating profits equally among their subsidiaries reach outcomes ...