Open AccessJournal Article
Managerial economics : firms, markets, and business decisions
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In this paper, the authors present an overview of the decision making process in the FIRM market, including decision analysis, demand and cost analysis, and pricing and related decision making.Abstract:
PART ONE: INTRODUCTION PART TWO: DECISION ANALYSIS, TOOLS AND TECHNIQUES PART THREE: DEMAND AND COST ANALYSIS PART FOUR: MARKET STRUCTURE AND THEORIES OF THE FIRM PART FIVE: PRICING AND RELATED DECISIONS PART SIX: REGULATORY INTERVENTION PART SEVEN: ORGANIZATIONAL ARCHITECTUREread more
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Journal ArticleDOI
China's future energy mix and emissions reduction potential: a scenario analysis incorporating technological learning curves
Hongyang Zou,Hongyang Zou,Huibin Du,Huibin Du,David C. Broadstock,Junpeng Guo,Yuqin Gong,Guozhu Mao +7 more
TL;DR: In this article, the authors examined the impacts of CO 2 emission reduction targets and carbon taxes on the structure of power generation in China and developed a model to minimize the total electricity generation cost and select the optimal energy technology and resource mix.
Dissertation
Can EVA create value?: a dynamic longitudinal investigation of three New Zealand companies
Universidade federal do rio grande do sul faculdade de ciências econômicas programa de pós-graduação em economia
Fábio Henrique,Bittes Terra +1 more
Abstract: The goal of this work is to analyze the prescriptive power of Behavioral Finance (SHLEIFER, 2000) for asset management in capital market, contrasting it with Efficient Markets Hypothesis implications (FAMA, 1970). Specifically, we seek to identify what techniques are appropriate in asset pricing, taking into account the interaction between empirical evidence obtained from empirical data and respective theoretical models. We map investors’ decision process in accordance with Efficient Markets Hypothesis (EMH) and Behavioral Finance (BF), identifying the assumptions and implications, and confront them with laboratorial experimental evidence, which test hypothesis about investors’ behavior. We discuss the positive contribution of Behavioral Finance’s research program, which explores bounded rationality in human choices and the effects experimented by investors in their decision making. Methodologically, Behavioral Finance absorbs the conclusions about real world obtained from lab experiments (DAVIS & HOLT, 1993; SMITH, 1987, 1994; MILLER, 2002) in order to create descriptive models, opposing, in this way, to the logical deductivism (POPPER, 1959) of conventional economics. Asset management has an unresolved tension which involves deciding between two methods: active or passive portfolio management; and this answer depends directly on the possibility (or not) for us to assume EMH as the strongest and only source to build appropriate strategies. Besides the introduction content, the work has three more chapters. In chapter 2, we explore scientific asset management and CAPM (SHARPE, 1964) propositions about market efficiency and security analysis paradigm. We also discuss the BF implications in asset management. Chapter 3 presents the experimental methodology which identifies technical analysis (chartist) influence in valuation process of financial assets. For this, we replicate an experimental treatment presented in Mussweiller and Schneller (2003) in a sample of low experienced Economics students. For the applicability of fundamentalist analysis, we use experimental results obtained by Haruvy, Lahav and Noussair (2007) and Camerer and Fehr (2006) and Lo (2004, 2005) qualitative approaches. The prescriptive power of financial theory is refined when it includes the phenomena explained by behavioral research in asset pricing and portolio managing. Technical analysis can be described using the cognitive bias effects present in human comparative nature (KAHNEMAN & MILLER, 1983; MUSSWEILLER, 2003). Fundamentalist analysis is justified by the cognitive hierarchy degrees of anticipation (CAMERER, HO & CHONG, 2004). The existence of series of active portfolio management practices is explained by the experimental observation that market prices converge to fundamental values in an adaptive process. Adaptive Markets Hypothesis (AMH) proposed by Lo (2004, 2005) reconciles BF with EMH, understanding the former as an extreme case which serves as reference point for measuring relative efficiency of a specific market. Besides, BF provides financial theory explanations about a greater range of phenomena, adding few new assumptions and with no need to understand it as an independent and self-excluding approach. Key-words: Behavioral Finance, Behavioral Economics, Experimental Economics, Asset Pricing, Capital Markets.