The value of the Slovak long-run elasticity substitution is relatively slow – about 0.10. It follows from the estimate of low-frequency econometric model. Econometric form is given by the capital demand derived from the first-order conditions of the firm maximizing its profit. Due to the...

By using the theory of p-max stable laws, we study large deviations of the extremes under power normalization. The necessary and sufficient conditions for large deviations of each of the six p-max stable laws are derived.

We provide a first-order necessary and sufficient condition for optimality of lower semicontinuous functions on Banach spaces using the concept of subdifferential. From the sufficient condition we derive that any subdifferential operator is monotone absorbing, hence maximal monotone when the...

We present the Lagrange multiplier rule, one of the basic optimization methods, in a new way. Novel features include: • Explanation of the true source of the power of the rule: reversal of tasks, but not the use of multipliers. • A natural proof based on a simple picture, but not the...