While in ground transportation the concept of reliability has been extensively studied, there is little literature in air transportation. Scheduled block time (SBT) setting is a crucial part in airlines’ scheduling. Interviews with an airline and relevant work in ground transportation have...

High arrival delay at major airports tends to propagate and generate secondary delay through the National Airspace System (NAS). In the United States, it is widely believed that the major culprits for delay throughout the NAS are the three New York commercial airports – Newark (EWR), LaGuardia...

China faces drought disaster risk under the changing climate. Risk analysis is a suitable approach in order to design ex-ante measure able to anticipate effects of drought on agricultural production. In this article, with the support of historic drought disaster data from 583 agro-meteorological...

Brands have largely been absent for fresh produce products; however, apples are one notable exception whereby varieties partially take the place of brands. Studying the role of brands in this market is particularly interesting given the introduction of several patented or socalled managed apple...

The paper considers a single utility company's long- and medium-term hydropower planning. The uncertainties are from the electricity forward curve and a random inflow. A simple and intuitive parameterization is given for the optimal production strategy. The accuracy of the parameterization is...

We consider the problem of dynamically hedging a fixed portfolio of assets in the presence of non-linear instruments and transaction costs, as well as constraints on feasible hedging positions. We assume an investor maximizing the expected utility of his terminal wealth over a finite holding...

This paper considers arbitrage-free option pricing in the presence of large agents. These large agents have a significant market power, and their trading strategies influence the dynamics of the financial asset prices. First, a simple asset pricing model in the presence of large agents is...

In many democratic countries, the timing of elections is flexible. We explore this potentially valuable option using insights from option pricing in finance. The paper offers three main contributions on this problem. First, we derive a rationally-based mean-reverting political support process...