Measuring Strategic Hedging Capability of Second-Tier States Under Unipolarity
نویسندگان
چکیده
منابع مشابه
Strategic hedging
For a Cournot duopoly with a foreign firm exporting to the home firm’s market hedging against unfavorable shifts in the stochastic spot exchange rate is analyzed. In a two-stage setting with product market and hedging decisions we show that hedging can be used as a strategic device. Under constant and decreasing absolute risk aversion an increase in hedging volume by the foreign firm promotes i...
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We investigate the implications of technological innovation and non-diversifiable risk on entrepreneurial entry and optimal portfolio choice. In a real options model where two risk-averse individuals strategically decide on technology adoption, we show that the impact of non-diversifiable risk on the option timing decision is ambiguous and depends on the frequency of technological change. Compa...
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We consider a dynamic multi-period framework of a Cournot duopoly and introduce a simultaneous hedging and a storage opportunity to allow players to manage risk before and after demand uncertainty is realized. Decision makers face a strategic dilemma: they must weigh the advantages of dealing with their risk exposure and the disadvantages of higher competition. Due to the storage opportunity, o...
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A learner's performance does not rely only on the representation language and on the algorithm inducing a hypothesis in this language. Also the way the induced hypothesis is interpreted for the needs of concept recognition is of interest. A exible methodology for hypothesis interpretion is ooered by the philosophy of a learner's second tier as originally suggested by Michalski (1987). Here, the...
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We present a family of hedging strategies for a European derivative security in a stochastic volatility environment. The strategies are robust to speciication of the volatility process and do not need a parametric description of it or estimation of the volatility risk premium. They allow the hedger to control the probability of hedging success according to risk aversion. The formula exploits th...
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ژورنال
عنوان ژورنال: Chinese Political Science Review
سال: 2016
ISSN: 2365-4244,2365-4252
DOI: 10.1007/s41111-016-0010-6