When a zero-sum game is played once, a risk-neutral player will want to maximize his expected outcome in that single play. However, if that single play instead only determines how much one player must pay to the other, and the same game must be played again, until either player runs out of money, optimal play may differ. Optimal play may require using different strategies depending on how much ...

cross efficiency is a method with the idea of peer evaluation instead of self-evaluation, and is used for evaluation and ranking decision making units (dmus) in data envelopment analysis (dea). unlike most existing dea ranking models which can only rank a subset of dmus, for example non-efficient or extreme efficient dmus, cross efficiency can rank all dmus, even non-extreme ones. however, sinc...

We present a fully constructive method for quantization of the solution X of a scalar SDE in the path space Lp[0, 1] or C[0, 1]. The construction relies on a refinement strategy, which takes into account the local regularity of X and uses Brownian motion (bridge) quantization as a building block. Our algorithm is easy to implement, its computational cost is close to the size of the quantization...

This paper examines the welfare effects of credit and shortsales constraints and limited liability/minimum consumption guarantee in an overlapping generations (OLG) model with rational beliefs in the sense of Kurz (1994). To measure the social welfare, it instead adopts an ex post social welfare concept in the sense of Hammond (1981), since the standard Pareto criterion becomes inappropriate wh...

It is well known that the selfish behavior of users in a network can be regulated through the imposition of the so-called optimal taxes on the network edges. Any traffic equilibrium reached by the selfish users who are conscious of both the travel latencies and the taxes will minimize the social cost, i.e., will minimize the total latency. Optimal taxes incur desirable behavior from the society...

Haemodiafiltration (HDF) is the blood purification therapy of choice for those who want significant removal of uraemic solutes beyond the traditional range of small molecules. Combining diffusive and convective solute transport, a HDF treatment comprises the largest number of variables among blood purification therapies, and it is important to understand how they interact in order to optimize t...

We consider the problem of allocating production capacity among multiple items, assuming that a fixed proportion of overall capacity can be dedicated exclusively to the production of each item. Given a capacity allocation, production of each item follows a base-stock policy, i.e., each demand triggers a replenishment order to restore safety stocks to target levels. We present procedures for cho...

Many practical chemical engineering problems involve the determination of optimal trajectories given multiple and conflicting objectives. These conflicting objectives typically give rise to a set of Pareto optimal solutions. To enhance real-time decision making efficient approaches are required for determining the Pareto set in a fast and accurate way. Hereto, the current paper illustrates the ...

For the algorithmic construction of optimal experimental designs, it is important to be able to evaluate small modifications of given designs in terms of the optimality criteria at a low computational cost. This can be achieved by using powerful update formulas for the optimality criteria during the design construction. The derivation of such update formulas for evaluating the impact of changes...