We first delineate a general model that accounts for the common features of sightseeing trips to city attractions and to locations such as lakes and parks. Next, we use the theory of discrete-time Markov chains (DTMCs) to formalize this general model and then we compute the one-step transition...

For a firm that provides transport to tourists/visitors and operates in a probabilistic environment, the twin issues of visitor classification and vehicle breakdowns have received scant attention in the extant literature. Therefore, we conduct a stochastic analysis of these two issues in this...

We theoretically study the rescue of destitute migrants seeking to reach Europe on boats across the Mediterranean Sea. To this end, we first construct a discrete-time Markov chain (DTMC) model of a stylized rescue process. Second, we specify the one-step transition probabilities of the DTMC....

We study the strategic interaction between a new good producer and a remanufacturer who use advertising campaigns to compete for a dominant share of the market for a certain good. Each firm chooses one of three possible strategies for running its advertising campaign. The two rival firms care...

We analyze the hitherto unstudied duopolistic interaction between a new good producer and a remanufacturer who compete for a dominant share of the market for a particular product. Each firm i spends d_i ≥ 0 on product development to sway consumers and this expenditure increases the likelihood...

We study two probabilistic approaches to cleaning the Ganges river when the underlying goal is to use the cleanup to sustain tourism in Varanasi, India. The first approach models the idea that because resources are scarce and cleanup is costly, not all pollutants in the Ganges can be removed....

We analyze the impact of preference matching and income on the distribution of the population in an aggregate economy consisting of an urban and an adjacent rural region. It costs more (less) to live in the urban (rural) region. Individuals choose freely to live either in the urban or in the...

We study water use by two geographically proximate farmers in a particular region during a drought. The two farmers each have an endowment of time that can be used either to produce water or to steal water. The price of water is exogenously given. The goal of the two farmers is to maximize their...

We analyze a stylized model of competition between two cities that use a local public good(LPG) to attract members of the creative class. The creative class consists of artists and engineersand we study the behavior of a representative artist and an engineer. The level of the LPG in eachcity is...

We study the properties of economic growth in a region that is driven by the activities of the so-called creative class. On the consumption side of our regional economy, we focus on an infinitely lived creative class household and on the production side of this same economy, we concentrate on a...