In the framework of Black-Scholes-Merton option pricing models, by employing exotic options instead of plain options or warrants, this paper presents an equivalent decomposition method for usual Callable Convertible Bonds (CCB). Furthermore, the analytic valuation formulae for CCB are worked out...

Results derived from evaluations using different measures for China's economic growth are divergent, especially when the RMB exchange rate has experienced large depreciation. Focusing on the changes in the RMB exchange rate matching the demands of economic development, we offer some plausible...

In this paper, we propose a dynamic model of the term structure of forward exchange rates and discuss the effects of jumps in interest rates on the term structure of forward exchange rates. First, we develop a dynamic three-factor model of forward exchange rates in continuous time that...

By applying tournament analysis to the UK Unit Trusts data, the results support significant risk shifting in the family tournament; i.e. interim winning managers tend to increase their level of risk exposure more than losing managers. It also shows that the risk-adjusted returns of the winners...

We consider a scenario in which a large equipment manufacturer wishes to outsource the work involved in repairing purchased goods while under warranty. Several external service vendors are available for this work. We develop models and analyses to support decisions concerning how responsibility...

In this paper, a new kind of complex network model named multi-radius geographical spatial networks is proposed. We investigate statistical characteristics of this model and then map wireless sensor networks (WSNs) to it based on an efficient mechanism of broadcasting radius adjustment. Analysis...

A critical issue in wireless sensor networks (WSNs) is represented by limited availability of energy within network nodes. Therefore, making good use of energy is necessary in modeling sensor networks. In this paper we proposed a new model of WSNs on a two-dimensional plane using site...

China has long been the world's most populous nation and faced the double challenge of ensuring its food security without causing catastrophic damage to the environment. Since the early 1960s, Chinese agricultural development has been premised on large domestic increases in nitrogen (N)...

Randomness and regularities in Finance are usually treated in probabilistic terms. In this paper, we develop a completely different approach in using a non-probabilistic framework based on the algorithmic information theory initially developed by Kolmogorov (1965). We present some elements of...

How do microeconomic frictions and microeconomic heterogeneity affect macroeconomic dynamics? We revisit the recent claim in the literature that nonconvex capital adjustment costs do not matter for aggregate dynamics. We argue that the neutrality of fixed adjustment frictions in general...