This paper examines conditions for the uniqueness of an equilibrium price distribution in stochastic macroeconomic models with rational expectations. A model is developed in which many price distributions, each with a finite variance, satisfy the equilibrium requirements of rationality. Hence, the condition that the variance of the equilibrium price distribution be finite, or equivalently, that...

In financial planning, customers are typically confronted with choosing a premium payment scheme when investing in a mutual fund, which is often equipped with an investment guarantee to provide downside protection. Guarantee costs may thereby also be charged differently depending on the provider. In this paper, we investigate the impact of the premium payment method on different performance mea...

In nowadays world competitive market, on account of the development of electronic media and its influence on shortening distances, companies require some core competencies in order to be able to compete with numerous competitors in industry and sustain their situation in such a market. In addition companies achieve this target are those which their processes perform great and exploit from compe...

The paper considers price adjustment on the plane and derives global stability conditions for such dynamics. First, we examine the well-known Scarf Example, to obtain and analyze a global stability condition for this case. Next, for a general class of excess demand functions, a set of conditions is identified which guarantee not only convergence to some equilibrium but also robustness of these ...

Dark pools are equity trading systems that do not publicly display orders. Orders in dark pools are matched within the exchange bid-ask spread without a guarantee of execution. Informed traders are more likely to cluster on the heavy side of the market and therefore face a lower execution probability in the dark pool, relative to uninformed traders. Consequently, exchanges are more attractive t...

Dynamic pricing schemes in telecommunication networks were traditionally employed to create users’ incentives in such a way that the overall utilization is improved and profits are maximized. However, such schemes create frustration to users, since there is no guarantee that they would get services at the anticipated prices. In this paper, we propose a pricing scheme for priority telephony syst...

The paper considers price adjustment on the plane and derives global stability conditions for such dynamics. First, we examine the well-known Scarf Example, to obtain and analyze a global stability condition for this case. Next, for a general class of excess demand functions, a set of conditions is identified which guarantee not only convergence to some equilibrium but also robustness of these ...

We consider the problem of designing truthful mechanisms for scheduling selfish tasks (or agents)—whose objective is the minimization of their completion times—on parallel identical machines in order to minimize the makespan. A truthful mechanism can be easily obtained in this context (if we, of course, assume that the tasks cannot shrink their lengths) by scheduling the tasks following the inc...

We conducted preference assessments with 4 typically developing children to identify potential reinforcers and assessed the reinforcing efficacy of those stimuli. Next, we tested two predictions of economic theory: that overall consumption (reinforcers obtained) would decrease as the unit price (response requirement per reinforcer) increased and that the cost and benefit components that defined...