Using a simple analytical model incorporating benefits of a stock, costs of adjusting the stock, and uncertainty in costs, we uncover several important principles governing the choice of price-based policies (e.g., taxes) relative to quantity-based policies (e.g., tradable permits) for controlling stock externalities. Applied to the problem of greenhouse gases and climate change, we find that a...

in the sector of electricity production, the existence of investment resources limitation and environmental factors are the main factors that influence this process. the reduction of costs and the destructive impacts of environmental have been always mentioned by specialists. consequently, the drasticality of the environmental protection and the electric-energy production lead to focus on solar...

This paper introduces gain-cost classi…cation matrix for targeting customer groups. A real life application was realized on a customer database of CCF Bank containing more than 400,000 instances. Results shows that scoring is almost insensitive to di¤erent cost-gain hypothesis; on the other hand, the optimal targeted group size and the expected global bene…t rely to cost-gain hypothesis. Keywor...

1 Proofs of propositions Proof. (of Proposition 4.1) Let Xi = X InfMax i for short. First, observe that X1 ∈ P1. This is because the greedy algorithm maximizes marginal gain, and no point on P1 can dominate this, no matter what the costs are. Next, suppose we have Xi−1 ∈ Pi−1. Since Xi is obtained from Xi−1 by adding that u that maximizes marginal gain in I(·), no point on Pi can dominate Xi. T...

Although the total number of new drugs (new chemical entities) approved has gradually decreased over the past decade, the proportion that are expensive biological agents has grown dramatically. In particular, the number of new biological agents registered for treating cancer—so called targeted therapies or personalised medicine—is increasing, and the costs of these treatments are rising too, wi...

We study the importance for climate policy of uncertainty concerning the gravity of climate change and thus the benefits of abatement. In particular, this uncertainty can have different effects on the benefits of early abatement and R&D. We explore these differences, which depend in large part on the curvature of the marginal abatement cost function—prudence, in other words. With convex margina...

Coastal aquatic ecosystems are increasingly affected by diffuse source nutrient water pollution from agricultural activities in coastal catchments, even though these ecosystems are important from a social, environmental and economic perspective. To warrant sustainable economic development of coastal regions, we need to balance marginal costs from coastal catchment water pollution abatement and ...

Availability: Public (only once status above is "Accepted") The question whether marginal cost pricing should be applied in the transportation sector has attained a great deal of attention during the last few years. It is argued that marginal cost pricing, or marginal social cost pricing – a term used when one wishes to emphasise that the pricing is applied by a government / regulator – would s...