The purpose of this paper is to propose a nonparametric interest rate term structure model and investigate its implications on term structure dynamics and prices of interest rate derivative securities. The nonparametric spot interest rate process is estimated from the observed short-term...

The paper considers a (static) portfolio system that satisfies adding-up contraints and the gross substitution theorem. The paper shows the relationship of the two conditions to the weak dominant diagonal property of the matrix of interest rate elasticities. This enables to investigate the...

This study investigates consumers' attention to retail feature ads and proposes a method to optimize the design of the ads. Utilizing a large dataset of consumers' attention to over 1,100 individual feature ads collected with eye-tracking technology, we analyze the effects of the five key design...

Rising levels of advertising competition have made it increasingly difficult to attract and hold consumers' attention and to establish strong memory traces for the advertised brand. A common communication strategy to break through this competitive clutter is to increase ad originality. However,...

An eye-tracking experiment with four processing goals and a free-viewing condition reveals goal control of attention even during a few seconds of self-paced ad exposure. An ad-memorization goal enhanced attention to the body text, pictorial, and brand design objects. A brand-learning goal...

We provide the theory of visual attention and eye-movements that serves as a basis for evaluating eye-tracking research and for discussing salient and emerging issues in visual marketing. Motivated from its rising importance in marketing practice and its potential for theoretical contribution,...

We propose a methodology to study the effects of physical ad properties on consumers' visual attention to advertising that accounts for heterogeneity in these effects across consumers. In an illustrative experiment, we monitor consumers' eye movements during naturalistic exposure to a consumer...