We investigate the combined effect of an Emission Trading System (ETS) and renewable energy sources on electricity generation investment in energy-only markets. We propose a simple representation of the capacity expansion decision between fossil fuel and renewable production, where electricity...

Due to recent technical progress, battery energy storages are becoming a viable option in the power sector. Their optimal operational management focuses on load shift and shaving of price spikes. However, this requires optimally responding to electricity demand, intermittent generation, and...

According to theoretical arguments, a properly designed emission trading system should help reaching pollution reduction at low social burden. Based on the theoretical work of environmental economists, cap-and-trade systems are put into operations all over the world. However, the practice from...

Technical analysis includes a huge variety of trading rules. This fact has always been a serious hindrance to the large number of market efficiency studies implemented either to demonstrate the profitability of market-beating systems or to deny their operational feasibility. For evident reasons...

This paper proposes a pricing model for inflation-linked bonds. Our proposal is developed starting from a Vasicek model of the instantaneous inflation rate process and the Cox, Ingersoll and Ross model for the nominal instantaneous risk-free interest rate process. Instead of adopting the...

Purpose: The variability of weather at tourist destinations can significantly affect travel decisions by tourists and their comfort. In particular, rain affects the profitability of hospitality firms that can hardly contrast the phenomenon of heavy rain. Therefore, the assessment of rainfall...