This paper develops numerical methods for finding optimal dividend pay-out and reinsurance policies. A generalized singular control formulation of surplus and discounted payoff function is introduced, where the surplus is modeled by a regime-switching process subject to both regular and singular controls. To approximate the value function and optimal controls, Markov chain approximation techniq...

Short-term alterations in dietary carbohydrate (CHO) energy are known to alter whole-body fuel selection in humans, but the metabolic mechanisms remain unknown. We used stable isotope-mass spectrometric methods with indirect calorimetry in normal subjects to quantify the metabolic response to six dietary phases (5 d each), ranging from 50% surplus CHO (+50% CHO) to 50% deficient CHO (-50% CHO),...

This paper examines the performance of property and liability reinsurance companies in the United States. It shows that these reinsurers have higher mean values than primary insurers in the following financial ratios: net operating income to net premium earned (NOI/PE), yield on invested assets (YIA), and loss reserves to net premium written (LR/NPW). Primary insurers, on the other hand, have h...

We expand upon the previous models of inequity aversion of Fehr and Schmidt (1999) and Frohlich, Oppenheimer and Kurki (2004), which assume that dictators get disutility if the final allocation of the surplus deviates from the equal split (egalitarian principle) or from the subjects’ production (libertarian principle). In our model, dictators may also account for the way in which the surplus wa...

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The theory of acceptance sets and their associated risk measures plays a key role in the design of capital adequacy tests. The objective of this paper is to investigate the class of surplus-invariant acceptance sets. We argue that surplus invariance is a reasonable requirement from a regulatory perspective, since the corresponding capital adequacy tests do not depend on the surplus of a financi...

We analyze the welfare consequences of a monopolist having additional information about consumers’tastes, beyond the prior distribution; the additional information can be used to charge different prices to different segments of the market, i.e., carry out "third degree price discrimination". We show that the segmentation and pricing induced by the additional information can achieve every combin...

Until recently, food waste prevention intervention has largely offered ‘end of pipe solutions’ that focus on causes at specific points in supply chains and dealing with the physical material itself. Recent research taken a different approach by emphasizing systemic nature problem need for its in-depth exploration. This paper offers systems-based understanding waste, which allows an account inte...

Economists have long recognized that regulation is an imperfect solution to market failure. Do the inefficiencies of regulation outweigh the inefficiencies of market failure? In this paper, we develop a stylized model of a monopolist offering two services, one more widely demanded than the other. We compare aggregate surplus from unregulated monopoly with aggregate surplus from a median voter m...

Both oligopoly theory and experiments are concerned almost uniquely with sellers’ behavior. Buyers’ ability to exhibit non-trivial behavior in different market institutions remains unaddressed. This paper investigates the impact of three variables (number of buyers, surplus division at the market-clearing price and information revelation) on strategic and fairness-motivated demand withholding. ...