Efficiency and marginal cost pricing in dynamic competitive markets with friction

This paper examines a dynamic general equilibrium model with supply friction. With or without friction, the competitive equilibrium is efficient. Without friction, the market price is completely determined by the marginal production cost. If friction is present, no matter how small, then the market price fluctuates between zero and the "choke-up" price, without any tendency to converge to the marginal production cost, exhibiting considerable volatility. The distribution of the gains from trading in an efficient allocation may be skewed in favor of the supplier, although every player in the market is a price taker.Dynamic general equilibrium model with supply friction, choke-up price, marginal production cost, welfare theorems

The support of the logarithmic equilibrium measure on sets of revolution in R3\R^3

For surfaces of revolution $B$ in $\R^3$, we investigate the limit distribution of minimum energy point masses on $B$ that interact according to the logarithmic potential $\log (1/r)$, where $r$ is the Euclidean distance between points. We show that such limit distributions are supported only on the ``out-most'' portion of the surface (e.g., for a torus, only on that portion of the surface with positive curvature). Our analysis proceeds by reducing the problem to the complex plane where a non-singular potential kernel arises whose level lines are ellipses

Conformally equivariant quantization: Existence and uniqueness

We prove the existence and the uniqueness of a conformally equivariant symbol calculus and quantization on any conformally flat pseudo-Riemannian manifold (M,\rg). In other words, we establish a canonical isomorphism between the spaces of polynomials on $T^*M$ and of differential operators on tensor densities over $M$, both viewed as modules over the Lie algebra \so(p+1,q+1) where $p+q=\dim(M)$. This quantization exists for generic values of the weights of the tensor densities and compute the critical values of the weights yielding obstructions to the existence of such an isomorphism. In the particular case of half-densities, we obtain a conformally invariant star-product.Comment: LaTeX document, 32 pages; improved versio

Constraining the neutron star equation of state using XMM-Newton

We have identified three possible ways in which future XMM-Newton observations can provide significant constraints on the equation of state of neutron stars. First, using a long observation of the neutron star X-ray transient CenX-4 in quiescence one can use the RGS spectrum to constrain the interstellar extinction to the source. This removes this parameter from the X-ray spectral fitting of the pn and MOS spectra and allows us to investigate whether the variability observed in the quiescent X-ray spectrum of this source is due to variations in the soft thermal spectral component or variations in the power law spectral component coupled with variations in N_H. This will test whether the soft thermal spectral component can indeed be due to the hot thermal glow of the neutron star. Potentially such an observation could also reveal redshifted spectral lines from the neutron star surface. Second, XMM-Newton observations of radius expansion type I X-ray bursts might reveal redshifted absorption lines from the surface of the neutron star. Third, XMM-Newton observations of eclipsing quiescent low-mass X-ray binaries provide the eclipse duration. With this the system inclination can be determined accurately. The inclination determined from the X-ray eclipse duration in quiescence, the rotational velocity of the companion star and the semi-amplitude of the radial velocity curve determined through optical spectroscopy, yield the neutron star mass.Comment: 4 pages, 1 figure, proceedings of the XMM-Newton workshop, June 2007, accepted for publication in A

Detection of a 1258 Hz high-amplitude kilohertz quasi-periodic oscillation in the ultra-compact X-ray binary 1A 1246-588

We have observed the ultra-compact low-mass X-ray binary (LMXB) 1A 1246-588 with the Rossi X-ray Timing Explorer (RXTE). In this manuscript we report the discovery of a kilohertz quasi-periodic oscillation (QPO) in 1A 1246-588. The kilohertz QPO was only detected when the source was in a soft high-flux state reminiscent of the lower banana branch in atoll sources. Only one kilohertz QPO peak is detected at a relatively high frequency of 1258+-2 Hz and at a single trial significance of more than 7 sigma. Kilohertz QPOs with a higher frequency have only been found on two occasions in 4U 0614+09. Furthermore, the frequency is higher than that found for the lower kilohertz QPO in any source, strongly suggesting that the QPO is the upper of the kilohertz QPO pair often found in LMXBs. The full-width at half maximum is 25+-4 Hz, making the coherence the highest found for an upper kilohertz QPO. From a distance estimate of ~6 kpc from a radius expansion burst we derive that 1A 1246-588 is at a persistent flux of ~0.2-0.3 per cent of the Eddington flux, hence 1A 1246-588 is one of the weakest LMXBs for which a kilohertz QPO has been detected. The root-mean-square (rms) amplitude in the 5-60 keV band is 27+-3 per cent, this is the highest for any kilohertz QPO source so far, in line with the general anti-correlation between source luminosity and rms amplitude of the kilohertz QPO peak identified before. Using the X-ray spectral information we produce a colour-colour diagram. The source behaviour in this diagram provides further evidence for the atoll nature of the source.Comment: 4 pages, 3 figures, accepted for publication in MNRA