The Lax-Hopf formula simplifies the value function of an intertemporal optimization (infinite dimensional) problem associated with a convex transaction-cost function which depends only on the transactions (velocities) of a commodity evolution: it states that the value function is equal to the marginal fonction of a finite dimensional problem with respect to durations and average transactions, m...

a r t i c l e i n f o Keywords: Location-boundedness of advantage Multinational enterprises Ownership strategy Transaction cost Transferability This research examines the complementary effect of transaction cost perspective and resource-based view on multinational enterprises' (MNEs) ownership strategies. Advantages may be location bounded, making certain advantages transferable and others non-...

This survey sketches the broad landscape of the field of transaction costs measurement. It surveys the main research areas concerning transaction costs and offers a taxonomy: monetary and financial economics, Williamsonian transaction cost economics, the transaction sector, non-market transaction costs, environmental and ecological economics, institutions and economic growth, and the economics ...

DEFINITION A transaction-time index is a temporal index that enables fast access to transaction-time datasets. In a traditional database, an index is used for selection queries. When accessing transaction-time databases, selection queries also involve the transaction-time dimension. The characteristics of the transaction-time axis imply various properties that such temporal index should have to...

We extend our warmest thanks to Jackson Nickerson and Brian Silverman for many stimulating conversations and much valuable advice. ABSTRACT Research on industry lifecycles demonstrates that competitive pressures are more severe during the shakeout stage, which could be associated with the emergence of a dominant design, than at other stages. Transaction cost theory, on the other hand, assumes g...

This paper attempts to build an investment portfolio optimization model based on the typical transaction cost. First, shortages of current investment portfolio models are analyzed. By analyzing the changing process of the transaction cost in practical investments, the author introduces the non-concave and non-convex transaction cost function and the mean-variance model, and adopts the investmen...

This paper develops a model of depth and spread setting by a monopolistic dealer under asymmetric information to investigate the effect of imposing a transaction cost on the dealer’s quotes. Increasing the transaction cost affects the depth and the spread non-linearly. Under some distributional assumptions, when market conditions are favourable to the dealer, the spread responds less than propo...

Business-to-business (B2B) marketplaces have significant potential impacts on the structure of channel relationships and IT management arrangements. IS theory traditionally investigated electronic marketplaces from a transaction cost theory point of view. We identify three major limitations of transaction cost theory as it applies to B2B electronic marketplaces. A number of other literatures wi...

Market impact cost is the most significant portion of implicit transaction costs that can reduce the overall transaction cost, although it cannot be measured directly. In this paper, we employed the state-of-the-art nonparametric machine learning models: neural networks, Bayesian neural network, Gaussian process, and support vector regression, to predict market impact cost accurately and to pro...

The source of disagreement between Pigou, the profession, and Coase in regard to the externalities is thought to be transaction cost. Coase shows that the traditional prescription for remedying externality problems can be wrong if transaction cost is positive. But Pigou did recognize that positive transaction cost played a role in creating externality problems even though the profession later f...