In 1992, the Air Force implemented transfer pricing to manage repair decisions for most reparable components. This market-like system is intended to provide internal customers with incentives to make cost-effective repair decisions; namely, repair a broken part locally versus sending it to a...

Economists' view of liquidity is askin to Supreme Court Justice Stewart's View of hard-core pornography: I shall not ... attempt further to define (it) .... But I know it when I see it. Embedding the process of selling an asset in a search environment enables us to provide an exact definition of...

This paper compares the solutions to "the induction problem" by Kolmogorov, de Finetti, and Solomonoff. Brief sketches of the intellectual history of de Finetti and Kolmogorov are also composed. Kolmogorov's contributions to information theory culminated in his notion of algorithmic complexity....

This paper is a survey of recent developments in probabilistic microeconomics. While research on the foundations of utility theory is not reviewed, a general Von Neumann-Morgenstern model of decision-making under uncertainty is presented. Alternative measures of risk aversion are examined within...