This article presents the relationship between a firm's advertisement spending and sales in a duopoly when information about the competitors' advertisement spending is unavailable. The competitive interaction between the firms has been modeled as imperfect information Cournot and Stackelberg...

This article describes how rank aggregation focuses on synthesizing a single ranked list based on rankings supplied by multiple judges. Such aggregations are widely applied in the areas of information retrieval, web search, and data mining. The problem of rank aggregation has been shown to be...

We analyze a family of extensive-form solution procedures for games with incomplete information that do not require the specification of an epistemic type space a la Harsanyi, but can accommodate a (commonly known) collection of explicit restrictions D on first-order beliefs. For any fixed D we...

Abstract This paper provides a non-technical introduction to a procedure to find Perfect Bayesian equilibria (PBEs) in incomplete information games. Despite the rapidly expanding literature on industrial organization that uses PBE as its main solution concept, most undergraduate and graduate...

Abstract We analyze the impact on consumer prices of some information characteristics of price-comparison search platforms. An equilibrium model where vendors compete in prices and consumers do not observe prices, but can obtain price information through a search platform, is developed. The...

Abstract We design a discrete time arbitrage-free model under incomplete information for application to credit risk models in the spirit of Duffie and Lando (2001). We assume a fundamental value process evolving according to a complete market model and a sequence of imperfect signals conveying...

Purpose The purpose of this paper is to show that outsourcing can occur as outcome of a separating or pooling perfect Bayesian equilibrium although it is not profitable under complete information. Therefore, asymmetric information can itself be a reason for outsourcing....

Customer project selection is a challenge for many industrial companies. An inappropriate project selection approach can lead to constraint violations, high fixed costs, and suboptimal portfolios. To overcome these problems a cash-flow-based linear optimization model was developed in partnership...

Abstract This paper is concerned with a procedure for financial time series clustering, aimed at creating groups of time series characterized by similar behavior with regard to extreme events. The core of our proposal is a double clustering procedure: the former is based on the lower tail...