In this paper we address the issue of finding efficient partial equilibria in markets with nonconvexities.This is a problem that has intrigued generation of economists. Beside its theoreticalimportance this issue is fundamental in energy markets which do not give the right price signalsand...

In the theoretical literature, strong arguments have been provided in support of the efficiencydefense in antitrust merger policy. One of the most often cited results is due to Williamson(1968) that shows how relatively small reduction in cost could offset the deadweight loss of alarge price...

The objective of this paper is to identify the determinants of office capitalization rates for a panel of 52countries (developed and emerging countries) between 2000 and 2006. Our assumption, based on a CapitalAsset Pricing Model, is that the capitalization rate should be at least proportional...

This paper shows that cycling of the simplex method for the m×n Transportation Problemwhere k-1 zero basic variables are leaving and reentering the basis does not occur once it doesnot occur in the k×k Assignment Problem. A method to disprove cycling for a particular k isapplied for k=2,3,34,5...

In this paper, we provide an explanation of why privatization may attract foreign investorsinterested in entering a regional market. Privatization turns the formerly-public firm into a lessaggressive competitor since profit- maximizing output is lower than the welfare-maximizingone. The drawback...

The inception of the Emission Trading System in Europe (EU-ETS) has made power price moreexpensive. This affects the competitiveness of electricity intensive industrial consumers and mayforce them to leave Europe. Taking up of a proposal of the industrial sector, we explore thepossible...

We study a particular class of cost sharing games – "data games" – covering situations wheresome players own data which are useful for a project pursued by the set of all players. Theproblem is to set up compensations between players. Data games are subadditive butgenerally not concave, and...

In this paper we propose benchmark values for the coefficients of relative risk aversionand relative prudence on the basis of a binary choice model where the decision makerchooses between aggregating or disaggregating multiplicative risks. We relate ourresults to the decision maker's willingness...

We propose an ob jective for the firm in a general model of production economies extending overtime under uncertainty and with incomplete markets. Trading in commodities and shares of stockoccurs sequentially on spot markets at all date-events. We derive the objective of the firm from...

Competitive aggressiveness is analyzed in a simple spatial oligopolisticcompetition model, where each one of two firms supplies two connectedmarket segments, one captive the other contested. To begin with, firmsare simply assumed to maximize profit subject to two constraints, one relatedto...