T single-product firms with different quality levels and fixed limited capacities engage in sequential price competition in an essentially deterministic model where customers have heterogeneous valuations for both products. We develop conditions under which the leader (she) can take strategic advantage of her limited capacity by pricing relatively low, purposefully creating shortages and leavin...

A commonly observed two-stage pricing strategy for a custom-made product involves a prepurchase entry fee for a potential consumer and a purchase price if he decides to buy the product. We solve and compare two settings: In the first, the firm does not commit in advance to the second-stage price and in the second, the firm does. We show that without a commitment mechanism, the two price points ...

We study Hotelling’s classic duopoly location model in continuous time with flow payoffs accumulated over time and the price dimension made explicit. In an experimental setting, subjects chose price and location in treatments varying only by the speed of adjustment. We find that the principle of minimum differentiation generally holds, with little distance between subjects’ location decisions. ...

We prove the existence of equilibrium in a continuous-time nance model; our results include the case of dynamically incomplete markets as well as dynamically complete markets. In addition, we derive explicitly the stochastic process describing securities prices. The price process depends on the risk-aversion characteristics of the utility function, as well as on the presence of additional sourc...

The present study was aimed to investigate the effects of oil price shocks on discretionary fiscal policies in selected OPEC countries during 1980-2015. In this regard, the heterogeneous dynamic reaction to structural shock was examined using Panel Structural Vector Autoregressive (PSVAR) technique. Based on the findings, the effect of oil price shocks on discretionary fiscal policy was positiv...

In a financial market with a continuous price process and proportional transaction costs we investigate the problem of utility maximization of terminal wealth. We give sufficient conditions for the existence of a shadow price process, i.e. a least favorable frictionless market leading to the same optimal strategy and utility as in the original market under transaction costs. The crucial ingredi...

A dynamic pricing model in airline seat allocation, where a seller offers two substitutable perishable products in the monopolist market, is proposed in this article. The objective is to maximize the total profit gained from both products. We analyze the problem using a multinomial logit model to describe the customer choice behavior. The exact solution is obtained according to the calculated o...

Many prominent continuous-time stochastic volatility models exhibit certain functional relationships between price jumps and volatility jumps. We show that stochastic volatility models like the Ornstein-Uhlenbeck and other continous-time CARMA models as well as continous-time GARCH and EGARCH models all exhibit such functional relations. We investigate the asymptotic behaviour of certain functi...

BACKGROUND AND OBJECTIVES There has been a growing interest in the anesthetic use of dexmedetomidine, a new alpha2-adrenergic agonist, due to decreased anesthetics consumption and better cardiovascular stability that it promoter. This study aimed at investigating cardiovascular effects of two different dexmedetomidine doses in anesthetized dogs. METHODS The study involved 36 adult dogs anesth...

The last 20 years of metabolic engineering has enabled bio-based production of fuels and chemicals from renewable carbon sources using cost-effective bioprocesses. Much of this work has been accomplished using engineered microorganisms that act as chemical factories. Although the time required to engineer microbial chemical factories has steadily decreased, improvement is still needed. Through ...