Releaving traffic congestion by developing public transport as an alternative mode of travel is a common practice all over the world. However, the increasing public transport subsidies have created a financial burden for governments. Encouragingly, private capital supplies an opportunity for public transport in sustainable finance. Previous research mainly focuses on qualitative analysis and mo...

We consider the problem of investment and consumption with a hidden Markov model and a regime switching structure. The Bayesian approach is followed to integrate econometric consideration and to make inference of the hidden Markov model. The optimal investment strategy is characterized by the method of stochastic dynamic programming and simulation results are given.

We consider the problem of investment and consumption with a hidden Markov model and a regime switching structure. The Bayesian approach is followed to integrate econometric consideration and to make inference of the hidden Markov model. The optimal investment strategy is characterized by the method of stochastic dynamic programming and simulation results are given.

Consider a ®rm that markets multiple products, each manufactured using several resources representing various types of capital and labor, and a linear production technology. The ®rm faces uncertain product demand and has the option to dynamically readjust its resource investment levels, thereby changing the capacities of its linear manufacturing process. The cost to adjust a resource level eith...

Recent literature (McNulty, Yeh, Schulze, & Lubatkin, 2002) states that the assumptions behind the capital asset pricing model, in particular the irrelevance of time horizon, do not correspond to the characteristics of firms that prefer long-term investment horizons. I show that family firms display a longer time horizon than most of their nonfamily counterparts, since (1) family firms display ...

We build a model of business process-aware software architecture flexibility cost for business process variation and structural complexity. By using travelsky-airline-agent's ecommerce platform as an example, we conduct in the study by the investment decisionsmaking of the flexibility strategy and the regression formula of flexibility. The results demonstrate that the investment can improve the...

Return on investment is a driving force that motivates and is a reward for investors. Investment returns are important for investors, in order for the entire investment game to be realized. Evaluating efficiency is the only logical way (Before risk assessment) that investors can do to compare alternative and different investments. Measuring real returns (relative to the past) is needed to bette...

This paper analyzes the investment-consumption problem of a risk averse investor in discrete-time model. We assume that the return of a risky asset depends on the economic environments and that the economic environments are ranked and described using a Markov chain with an absorbing state which represents the bankruptcy state. We formulate the investor’s decision as an optimal stochastic contro...

We consider the optimal consumption and investment with transaction costs on multiple assets, where the prices of risky assets jointly follow a multi-dimensional geometric Brownian motion. We characterize the optimal investment strategy and in particular prove by rigorous mathematical analysis that the trading region has the shape that is very much needed for well defining the trading strategy,...

This paper studies the expected return of a stock investment with a stop-loss strategy. The probability density function for the investment value is formulated as the solution for a boundary value problem of a partial differential equation. Then, the expected value is manipulated as a function of the stop-loss probability. Two examples are solved by an analytic method. Finally, we design a boun...