Commentary: When the data are precise and imperfect

Precise Enterprises and Imperfect Data

One of the main uses of an information system is the representation and management of large amounts of indicative information from multiple sources describing the state of some enterprise. Most current information systems model enterprises that are crisp. A crisp enterprise is defined as one that is highly quantifiable; all relationships are fixed, and all attributes are atomic valued. The prem...

Optimal consumption when capital markets are imperfect *

Capital market imperfections are widely believed to explain why consumption deviates from the martingale implications of the REPIH. However, empirical modelling and theoretical analysis of consumption under capital market imperfections is hindered by the absence of any tractable theoretical model. By modelling capital market imperfections as consumers facing an upward sloping interest rate sche...

Optimal plaintiff incentives when courts are imperfect

The incentives of a plaintiff in a lawsuit are affected by a variety of legal rules. One leading example is the proportion of the fine imposed on the defendant that is awarded to the plaintiff. Another is the identity of the plaintiff himself: private litigants are motivated by the prospect of receiving damages, while government employed plaintiffs (such as public prosecutors and employees of r...

Commentary: an imperfect compromise.

When the Data Are Functions

A datum is often a continuous function x(t) of a variable such as time observed over some interval. One or more such functions are observed for each subject or unit of observation. The extension of classical data analytic techniques designed for p-variate observations to such data is discussed. The essential step is the expression of the classical problem in the language of functional analysis,...