We consider a buying–selling problem when two stops of a sequence of independent random variables are required. An optimal stopping rule and the value of a game are obtained.

This paper provides an axiomatic foundation for a particular type of preference shock model, called the random discounting representation, where a decision maker believes that her discount factors change randomly over time. For this purpose, we formulate an infinite horizon extension of Dekel, Lipman, and Rustichini (2001), and identify the behavior that reduces all the subjective uncertainties...

This paper investigates an environmental policy designed to reduce the emission of pollutants under uncertainty, where the agents’ problem is formulated as an optimal stopping problem. We first analyze the single-agent’s case according to Pindyck [Pindyck, R.S., 2002. Optimal timing problems in environmental economics. Journal of Economic Dynamics and Control 26, 1677–1697]. We then extend the ...

A Wald-like equation is proved for the entropy of a ran-db@y, stopped sequence of independent identically distributed discrete random variables XI, X2,. with a nonanticipating stopping time N.

We examine the early exercise policies and pricing behaviors of one-asset American options with lookback payoff structures. The classes of option models considered include floating strike lookback options, Russian options, fixed strike lookback options and pricing model of dynamic protection fund. For each class of the American lookback options, we analyze the optimal stopping region, in partic...

Introduction: Proton therapy delivers radiation to tumor tissue in a much more confined way than conventional photon therapy thus allowing the radiation oncologist to use a greater dose while still minimizing side.   Materials and Methods: protons release most of their energy within the tumor region. As a result, the treating physician can potentially give an...