Prizes and Lemons: Procurement of Innovation under Imperfect Commitment

The literature on R&D contests implicitly assumes that contestants submit their innovation regardless of its value. This ignores a potential adverse selection problem. The present paper analyzes the procurement of innovations when the procurer cannot commit to never bargain with innovators who bypass the contest. We compare ?xed-prize tournaments with and without entry fees, and optimal scoring auctions with and without minimum score requirement. Our main result is that the optimal ?xed-prize tournament is more pro?table than the optimal auction since preventing bypass is more costly in the optimal auction

Nanostructuring of glass micro-nanowires

In the past decade, glass fiber tapers with micron or sub-micron diameter have attracted much attention and found a wide range of applications in optics [1] including mode filtering, supercontinuum generation, high-Q resonators and resonant sensing, optical trapping and optical propulsion. Nanofabrication can add new application opportunities, like Fabry-Perot resonators, Scanning near-field optical microscopy (SNOM) probe and surface plasmon resonators

Prizes and Lemons: Procurement of Innovation under Imperfect Commitment

The literature on R&D contests implicitly assumes that contestants submit their innovation regardless of its value. This ignores a potential adverse selection problem. The present paper analyzes the procurement of innovations when the procurer cannot commit to never bargain with innovators who bypass the contest. We compare ?xed-prize tournaments with and without entry fees, and optimal scoring auctions with and without minimum score requirement. Our main result is that the optimal ?xed-prize tournament is more pro?table than the optimal auction since preventing bypass is more costly in the optimal auction.innovation; contests; tournaments; auctions; bargaining; adverse

Horizontal mergers with synergies: first-price vs. profit-share auction

We consider takeover bidding in a Cournot oligopoly when firms have private information concerning the synergy effect of merging with a takeover target. Two auction rules are considered: standard first-price and profit-share auctions, supplemented by entry fees. Since non-merged firms benefit from a merger if the synergies are low, bidders are subject to a positive externality. Nevertheless, pooling does not occur; and the profit-share auction is strictly more profitable than the first-price auction, regardless of whether firms observe the synergy parameter or only the winning bid before they play the oligopoly game

Horizontal mergers with synergies: first-price vs. profit-share auction

We consider takeover bidding in a Cournot oligopoly when firms have private information concerning the synergy effect of merging with a takeover target. Two auction rules are considered: standard first-price and profit-share auctions, supplemented by entry fees. Since non-merged firms benefit from a merger if the synergies are low, bidders are subject to a positive externality. Nevertheless, pooling does not occur; and the profit-share auction is strictly more profitable than the first-price auction, regardless of whether firms observe the synergy parameter or only the winning bid before they play the oligopoly game.Horizontal mergers; takeovers; auctions; externalities; oligopoly

Beamforming Techniques for Non-Orthogonal Multiple Access in 5G Cellular Networks

In this paper, we develop various beamforming techniques for downlink transmission for multiple-input single-output (MISO) non-orthogonal multiple access (NOMA) systems. First, a beamforming approach with perfect channel state information (CSI) is investigated to provide the required quality of service (QoS) for all users. Taylor series approximation and semidefinite relaxation (SDR) techniques are employed to reformulate the original non-convex power minimization problem to a tractable one. Further, a fairness-based beamforming approach is proposed through a max-min formulation to maintain fairness between users. Next, we consider a robust scheme by incorporating channel uncertainties, where the transmit power is minimized while satisfying the outage probability requirement at each user. Through exploiting the SDR approach, the original non-convex problem is reformulated in a linear matrix inequality (LMI) form to obtain the optimal solution. Numerical results demonstrate that the robust scheme can achieve better performance compared to the non-robust scheme in terms of the rate satisfaction ratio. Further, simulation results confirm that NOMA consumes a little over half transmit power needed by OMA for the same data rate requirements. Hence, NOMA has the potential to significantly improve the system performance in terms of transmit power consumption in future 5G networks and beyond.Comment: accepted to publish in IEEE Transactions on Vehicular Technolog

Neighborhood Subprime Lending and the Performance of Community Reinvestment Mortgages

This study analyzes the spillover effect of the spatial concentration of subprime lending on the performance of recently originated community reinvestment mortgages targeting low- to moderate-income borrowers. The level of subprime lending in a census tract is found to be a significant predictor of the default and prepayment probability of the community reinvestment loans in the same neighborhoods. The results suggest that the concentration of subprime lending and the resulting clusters of foreclosed properties reduce neighborhood property values and increase price volatility. The lowered property values and the increased volatility increase the default probability of borrowers holding any loan product, including community reinvestment mortgages. This study provides new evidence concerning the negative impacts of the concentration of subprime lending in certain neighborhoods.

The η(2225)\eta(2225) observed by the BES Collaboration

In the framework of the $^3P_0$ meson decay model, the strong decays of the $3 ^1S_0$ and $4 ^1S_0$ $s\bar{s}$ states are investigated. It is found that in the presence of the initial state mass being 2.24 GeV, the total widths of the $3 ^1S_0$ and $4 ^1S_0$ $s\bar{s}$ states are about 438 MeV and 125 MeV, respectively. Also, when the initial state mass varies from 2220 to 2400 MeV, the total width of the $4 ^1S_0$ $s\bar{s}$ state varies from about 100 to 132 MeV, while the total width of the $3 ^1S_0$ $s\bar{s}$ state varies from about 400 to 594 MeV. A comparison of the predicted widths and the experimental result of $(0.19\pm 0.03^{+0.04}_{-0.06})$ GeV, the width of the $\eta(2225)$ with a mass of $(2.24^{+0.03+0.03}_{-0.02-0.02})$ GeV recently observed by the BES Collaboration in the radiative decay $J/\psi\to\gamma\phi\phi\to\gamma K^+K^-K^0_SK^0_L$, suggests that it would be very difficult to identify the $\eta(2225)$ as the $3 ^1S_0$ $s\bar{s}$ state, and the $\eta(2225)$ seams a good candidate for the $4 ^1S_0$ $s\bar{s}$ state.Comment: 14 pages, 3 figures, typos corrected, Accepted by Physical Review