This paper studies the incentive effect of linear performance-adjusted contracts in delegated portfolio management under a value-at-risk (VaR) constraint. It is shown that a linear performance-based contract can provide incentives for the portfolio manager to work at acquiring private...

This paper incorporates the well-documented managerial optimism bias into a standard portfolio delegation problem to study its impact on investment strategies and the optimal incentive contract offered by the investor to the manager. It is shown that the optimistic manager trades a larger...

This article imports a behavioural perspective into a team context to study the effort-coordination problem among agents. Specifically, we investigate how the presence of optimism bias impacts the severity of the free-rider problem, the organizational structure of the team and the compensation...

A method for the prediction of Energy Production (EP) in Concentrating Photovoltaic (CPV) installations is examined in this study. It presents a new method that predicts EP by using Global Horizontal Irradiation (GHI) and the Photovoltaic Geographical Information System (PVGIS) database, instead...

In this paper, we re-examine various previous experimental studies of the Centipede Game in the literature. These experiments found that players rarely follow the subgame-perfect equilibrium strategies of the game, and various modifications to the game were proposed to explain the outcomes of...

The ELECTRE II and III methods enjoy a wide acceptance in solving multi-criteria decision-making (MCDM) problems. Research results in this paper reveal that there are some compelling reasons to doubt the correctness of the proposed rankings when the ELECTRE II and III methods are used. In a...

One standard that is used to compare different energy generation technologies or systems is the levelized cost of energy (LCOE). The relatively high LCOE of photovoltaics (PV) is an obstacle to adopting it as a major electricity source for terrestrial applications. In a conventional PV system,...

A quarter-century quest hasn't found the elusive links between economic fundamentals and currency values. ; The U.S. dollar has been losing value against several major currencies this decade. Since 2001-02, the U.S. currency has fallen about 50 percent against the euro, 40 percent against the...

Two approaches for planning manufacturing strategy, a strategic approach and a paradigmatic approach, are introduced. The key decisions of these two approaches are, respectively, located in the choices of competitive priorities and manufacturing paradigms. Three hypothesis models on the...