This paper investigates an optimal capacity expansion policy for innovative product in a context of one supplier and one retailer. With a fully deductible contract, we employ the Stackelberg game model to examine the negotiation process of capacity expansion in a single period. We first derive the retailer’s optimal reservation strategy and then characterize the optimal capacity expansion polic...

The rent of shelter accounts for approximately a third of the Consumer Price Index (CPI). Using a new housing rent index (RRI) developed by Ambrose, Coulson, and Yoshida (2014), we modify the CPI and compute the Taylor rule for the period from 2000 to 2010. With this timely rent index, Taylor rule becomes more consistent with the Federal funds rate than the conventional calculations. However, t...

Price cap regulation (PCR) has now been employed in the telecommunications industry for more than a quarter century. We review the experience with PCR and offer an explanation for its popularity. PCR’s design flexibility, its ability to limit undesirable strategic behavior, declining industry costs, and developing competition all enhanced the appeal of PCR. We also review some surprises that ha...

We study a model with local public goods in which agents’ crowding e¤ects are formally distinguished from their taste types. It has been shown that the core of such an economy can be decentralized with anonymous admission prices (which are closely related to cost share prices). Unfortunately, such a price system allows for an arbitrary relationship between the public goods level in a given juri...

The objective of this paper is twofold. Firstly, to derive time-fractional evolution equation modeling the No-Arbitrage premium Asian option (with arithmetic and geometric averages ) contingent upon an underlying asset that satisfies fractional stochastic differential equation, in a setting when strike price fixed floating. Secondly, we have computed four versions put-call parities for options,...

in the current study, floating dosage form containing acyclovir was developed to increase its oral bioavailability. effervescent floating tablets containing 200 mg acyclovir were prepared by direct compression method with three different rate controlling polymers including hydroxypropyl methylcellulose k4m, carbapol 934, and polyvinylpyrrolidone. optimized formulation showed good floating prope...

Today many argue that there appears to be an epidemic case of “fear of floating”. Some have further claimed that credible inflation targeting – a popular regime choice today – and fear of floating are identical regimes. This paper takes a different view. We modify Calvo and Reinhart’s (2002) approach to analyze the behavior of exchange rates, reserves, interest rates and inflation across 88 exc...

This paper uses an adapted version of the linear tracing procedure, suggested by Harsanyi and Selten (1988), in order to discriminate between two types of multiple Nash equilibria. Equilibria of the same type are pay-off equivalent in the analysed multiple-unit unit price auction where two sellers compete in order to serve a fixed demand. The equilibria where the firm with the larger capacity b...

This paper investigates the use of floating gate MOS devices for analog trimming. A floating gate MOSFET structure, in which tunneling occurs at the corners of a polysilicon slab, has been fabricated using a standard 1.2p.m n-well CMOS process. The analog storage performance of the floating gate is evaluated. A threedimensional device simulator, DAVINCI, is used to characterize the field enhanc...