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Related papers: Pollution permits, Strategic Trading and Dynamic T…

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Few studies quantify how traffic management dynamically reshapes modal split and emission-exposure outcomes over pollution severities. This paper proposes a novel day-to-day assignment model integrating exposure cost, which includes…

Physics and Society · Physics 2025-02-04 Yueqi Liu , Ke Han , Lei Yu , Wenrui Tu

Low-carbon dispatchable power underpins a sustainable energy system, providing load balancing complementing wide-scale deployment of intermittent renewable power. In this new context, fossil fuel-fired power plants must be coupled with a…

Systems and Control · Electrical Eng. & Systems 2024-02-15 Steven Sachio , Adam Ward , Ronny Pini , Maria M. Papathanasiou

The integration of AI agents into economic markets fundamentally alters the landscape of strategic interaction. We investigate the economic implications of expanding the set of available technologies in three canonical game-theoretic…

Computer Science and Game Theory · Computer Science 2026-04-14 Eilam Shapira , Roi Reichart , Moshe Tennenholtz

To address the dual environmental challenges of pollution and climate change, China has established multiple environmental markets, including pollution emissions trading, carbon emissions trading, energy-use rights trading, and green…

General Economics · Economics 2025-10-01 Tiantian Yang , Richard S. J. Tol

This paper develops a strategic model of trade between two regions in which, depending on the relation among output, financial resources and transportation costs, the adjustment of prices towards an equilibrium is studied. We derive…

Optimization and Control · Mathematics 2008-05-21 Iordan V. Iordanov , Stoyan V. Stoyanov , Andrey A. Vassilev

We study Nash equilibria for inventory-averse high-frequency traders (HFTs), who trade to exploit information about future price changes. For discrete trading rounds, the HFTs' optimal trading strategies and their equilibrium price impact…

Trading and Market Microstructure · Quantitative Finance 2019-06-06 Sebastian Herrmann , Johannes Muhle-Karbe , Dapeng Shang , Chen Yang

This work is concerned with the application of game theoretic principles to model competition between demand response aggregators for selling excess energy stored in electrochemical storage devices directly to other aggregators in a power…

Systems and Control · Computer Science 2016-12-05 Mahdi Motalleb , Reza Ghorbani

This work's purpose is to understand the dynamics of limit order books in order-driven markets. We try to illustrate a dynamical trading mechanism attached to the microstructure of limit order markets. We capture the iterative nature of…

Trading and Market Microstructure · Quantitative Finance 2014-01-13 Shilei Wang

Reactive synthesis is a framework for modeling and automatically synthesizing strategies in robotics, typically through computing a \emph{winning} strategy in a 2-player game between the robot and the environment. Winning strategies,…

Robotics · Computer Science 2024-10-14 Karan Muvvala , Morteza Lahijanian

In this paper we study the single-item revenue management problem, with no information given about the demand trajectory over time. When the item is sold through accepting/rejecting different fare classes, Ball and Queyranne (2009) have…

Data Structures and Algorithms · Computer Science 2020-01-20 Will Ma , David Simchi-Levi , Chung-Piaw Teo

The potential of machine learning to automate and control nonlinear, complex systems is well established. These same techniques have always presented potential for use in the investment arena, specifically for the managing of equity…

Portfolio Management · Quantitative Finance 2011-10-18 Evan Hurwitz , Tshilidzi Marwala

Market-based instruments such as payments, auctions or tradable permits have been proposed as flexible and cost-effective instruments for biodiversity conservation on private lands. Trading the service of conservation requires one to define…

Populations and Evolution · Quantitative Biology 2010-11-22 Florian Hartig , Martin Drechsler

The emergence of the modern gig economy introduces a new set of employment considerations for firms and laborers that include various trade-offs. With a game-theoretical approach, we examine the influences of technology, policy and markets…

Physics and Society · Physics 2021-03-25 Kevin Hu , Feng Fu

The large integration of variable energy resources is expected to shift a large part of the energy exchanges closer to real-time, where more accurate forecasts are available. In this context, the short-term electricity markets and in…

Trading and Market Microstructure · Quantitative Finance 2020-04-14 Ioannis Boukas , Damien Ernst , Thibaut Théate , Adrien Bolland , Alexandre Huynen , Martin Buchwald , Christelle Wynants , Bertrand Cornélusse

In speculative markets, risk-free profit opportunities are eliminated by traders exploiting them. Markets are therefore often described as "informationally efficient", rapidly removing predictable price changes, and leaving only residual…

Trading and Market Microstructure · Quantitative Finance 2013-10-08 Felix Patzelt , Klaus R. Pawelzik

In this paper we present a theoretical framework for determining dynamic ask and bid prices of derivatives using the theory of dynamic coherent acceptability indices in discrete time. We prove a version of the First Fundamental Theorem of…

Risk Management · Quantitative Finance 2013-06-13 Tomasz R. Bielecki , Igor Cialenco , Ismail Iyigunler , Rodrigo Rodriguez

Unexpected advertising items in sponsored search may reduce users' reliance on organic search, resulting in hidden cost for the e-commerce platform. To address this problem and promote sustainable growth, we propose a dynamic reserve price…

Computer Science and Game Theory · Computer Science 2025-08-26 Mang Li

This paper develops a comprehensive theoretical framework that imports concepts from stochastic thermodynamics to model price impact and characterize the feasibility of round-trip arbitrage in financial markets. A trading cycle is treated…

Mathematical Finance · Quantitative Finance 2025-12-04 Amit Kumar Jha

This paper investigates the role of a transmission system operator within a carbon footprint reduction strategy incorporating carbon taxes and renewable energy generation subsidies in the decentralised energy market. This is achieved via an…

Optimization and Control · Mathematics 2024-04-03 Nikita Belyak , Steven A. Gabriel , Nikolay Khabarov , Fabricio Oliveira

As the penetration of distributed energy resources (DERs) increases, harnessing their flexibility becomes critical for power system operations. Virtual power plants (VPPs) offer a promising solution. However, most existing scheduling tools…

Systems and Control · Electrical Eng. & Systems 2026-04-30 Lorenzo Zapparoli , Paul Fäth , Blazhe Gjorgiev , Giovanni Sansavini