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As a selling mechanism, auctions have acquired a central position in the free market economy all over the globe. This development has deepened, broadened, and expanded the theory of auctions in new directions. This chapter is intended as a selective update of some of the developments and...
Persistent link: https://www.econbiz.de/10011107706
The past few decades have seen amajor shift from centralized to decentralized investment management by pension fund sponsors, despite the increased coordination problems that this brings. Using a unique, proprietary dataset of pension sponsors and managers, we identify two secular...
Persistent link: https://www.econbiz.de/10009422099
In this paper, we consider two-sided, many-to-one matching problems where agents in one side of the market (schools) impose some distributional constraints (e.g., a maximum quota for a set of schools), and develop a strategyproof mechanism that can handle a very general class of distributional...
Persistent link: https://www.econbiz.de/10011271676
In this paper we analyze the implication of a particular kind of allocation rule called Rawlsian allocation rule on queueing and sequencing problems. We find that in case of queueing problems, Efficient allocation rules are Rawlsian but the converse is not true. For a particular class of...
Persistent link: https://www.econbiz.de/10011111169
We identify the complete class of transfer rules that guarantee strategyproofness of any non-increasing in completion … decision (or aggregate cost minimization), egalitarian equivalence and strategyproofness. There is no mechanism in this class … that satisfies either feasibility or weak group strategyproofness. Finally we identify the restrictions under which …
Persistent link: https://www.econbiz.de/10011114557
Options are historically being priced using Black Scholes option pricing model and one of the prominent features of it … is normal distribution. In this research paper I will calculate European call options using log logistic distribution … compared to normal distribution. In this research paper I have used historic data on stocks, value European call options using …
Persistent link: https://www.econbiz.de/10011259299
This paper studies how options trading, by circumventing constraints on borrowing, permits optimistic investors to hold …. We show that aggregate demand for the stock is what prevails when options do not exist and no constraints hold …
Persistent link: https://www.econbiz.de/10008695108
This paper investigates the motivations and practice of nonfinancial firms with regard to using financial options in … use of derivatives in general and options in particular by nonfinancial corporations across different underlyings and … countries. Overall, a significant number of 15%-25% of the firms outside the financial sector use financial options. This …
Persistent link: https://www.econbiz.de/10005835643
Indeed, the specification of equilibrium in the world economy depends on the exchange rate regime and thus, the early contributions to the postwar literature on exchange rate economics are to a large extent concerened with the role of speculation in foreign exchange markets. However, the world...
Persistent link: https://www.econbiz.de/10005619306
The phenomenal growth of derivative markets across the globe indicates their impact on the global financial scene. As the securities markets continue to evolve, market participants, investors and regulators are looking at different way in which the risk management and hedging needs of investors...
Persistent link: https://www.econbiz.de/10005621718