This paper develops a quantitative model of trade, military conflicts, and defense spending. Trade liberalization between two countries reduces probability of an armed conict between them, causing both to cut defense spending. This in turn causes a domino effect on defense spending by other...

This paper assesses the political implications of intra-aquifer heterogeneity in the benefits and costs of optimal groundwater management. We use simulation modeling to predict groundwater extraction regimes under two alternative local decision-making structures and compare these structures to...

We compare four different test approaches for the calibration quality of internal rating systems in the case of dependent default events. Two of them are approxi¬mation approaches and two are simulation approaches of one- and multi-factor models. We find that multi-factor models generate more...

The definition of well being in Sen's capability approach (Sen, 1985, 1993) implies the evaluation of unobservables in a context of complexity and interaction amongst the different capabilities. The issue of measurement of well being in the capability approach is interested by problems related...

Cluster analysis classifies a set of observations into two or more mutually exclusive unknown groups based on combination of interval variables and it has proven to be very useful. The classification aim is grouping the objects between their similarities or dissimilarities and so providing a...

This study provides a basic introduction to agent-based modeling (ABM) as a powerful blend of classical and constructive mathematics, with a primary focus on its applicability for social science research.  The typical goals of ABM social science researchers are discussed along with the...

Short-term congestion forecasting is highly important for market participants in wholesale power markets that use Locational Marginal Prices (LMPs) to manage congestion. Accurate congestion forecasting facilitates market traders in bidding and trading activities and assists market operators in...

In this paper we study solution methods for solving the dual problem corresponding to the Lagrangean Decomposition of two stage stochastic mixed 0-1 models. We represent the two stage stochastic mixed 0-1 problem by a splitting variable representation of the deterministic equivalent model, where...

The paper presents some applications of Kuhn-Tucker conditions to inventory stock management of Wilson type which admits the lack of stock. Also, an illustrative example is presented.