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Related papers: How do we measure trade elasticity for services?

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Physical interaction with textiles, such as assistive dressing, relies on advanced dextreous capabilities. The underlying complexity in textile behavior when being pulled and stretched, is due to both the yarn material properties and the…

Studying intra-industry trade involves theoretical explanations and empirical methods to measure the phenomenon. Indicators have been developed to measure the intensity of intra-industry trade, leading to theoretical models explaining its…

Theoretical Economics · Economics 2023-09-01 Sourish Dutta

We present a simple dynamic equilibrium model for an online exchange where both buyers and sellers arrive according to a exogenously defined stochastic process. The structure of this exchange is motivated by the limit order book mechanism…

Computer Science and Game Theory · Computer Science 2008-12-02 Garud Iyengar , Anuj Kumar

This paper addresses the challenges faced in large-volume trading, where executing substantial orders can result in significant market impact and slippage. To mitigate these effects, this study proposes a volatility-volume-based order…

Computational Finance · Quantitative Finance 2024-12-18 Ritwika Chattopadhyay , Abhishek Malichkar , Zhixuan Ren , Xinyue Zhang

In this paper we discuss practical limitations of the standard choice-based demand models used in the literature to estimate demand from sales transaction data. We present modifications and extensions of the models and discuss data…

Optimization and Control · Mathematics 2020-08-25 Norbert Remenyi , Xiaodong Luo

We study the role and drivers of persistence in the extensive margin of bilateral trade. Motivated by a stylized heterogeneous firms model of international trade with market entry costs, we consider dynamic three-way fixed effects binary…

Econometrics · Economics 2021-07-27 Julian Hinz , Amrei Stammann , Joschka Wanner

International trade fluxes evolve as countries revise their portfolios of trade products towards economic development. Accordingly products' shares in international trade vary with time, reflecting the transfer of capital between distinct…

Trading and Market Microstructure · Quantitative Finance 2018-01-16 Matthieu Barbier , D. -S. Lee

In this paper, we design two chapters to discuss trade dynamics with heterogeneous fluctuations, contributing new insights to macroeconomic issues related to international trade. In the first chapter, we model general exchange rate…

Econometrics · Economics 2026-03-11 Yongheng Hu

We study common properties of retail pricing models within a general framework of calculus of variations. In particular, we observe that for any demand model, optimal de-seasoned revenue rate divided by price elasticity is time invariant.…

Optimization and Control · Mathematics 2014-02-11 Alexander Kushkuley , Su-Ming Wu

Relational arrays represent measures of association between pairs of actors, often in varied contexts or over time. Trade flows between countries, financial transactions between individuals, contact frequencies between school children in…

Methodology · Statistics 2022-06-23 Frank W. Marrs , Bailey K. Fosdick , Tyler H. McCormick

Microstructure of market dynamics is studied through analysis of tick price data. Linear trend is introduced as a tool for such analysis. Trend arbitrage inequality is developed and tested. The inequality sets limiting relationship between…

Data Analysis, Statistics and Probability · Physics 2008-12-02 Nikolai Zaitsev

Problem definition: Mining for heterogeneous responses to an intervention is a crucial step for data-driven operations, for instance to personalize treatment or pricing. We investigate how to estimate price sensitivity from…

Methodology · Statistics 2025-01-08 Jean Pauphilet

A liquidity measure based on consideration and price range is proposed. Initially defined for daily data, Liquidity Index (LIX) can also be estimated via intraday data by using a time scaling mechanism. The link between LIX and the…

Trading and Market Microstructure · Quantitative Finance 2014-12-17 Oleh Danyliv , Bruce Bland , Daniel Nicholass

There are several approaches to modeling and forecasting time series as applied to prices of commodities and financial assets. One of the approaches is to model the price as a non-stationary time series process with heteroscedastic…

Statistical Finance · Quantitative Finance 2024-07-01 Andrei Renatovich Batyrov

We introduce a mathematical model, based on networks, for the elasticity and plasticity of materials. We define the tension tensor for a periodic graph in a Euclidean space, and we show that the tension tensor expresses elasticity under…

Differential Geometry · Mathematics 2022-04-28 Hiroki Kodama , Ken'ichi Yoshida

This paper describes the results of research project on optimal pricing for LLC "Perm Local Rail Company". In this study we propose a regression tree based approach for estimation of demand function for local rail tickets considering high…

Econometrics · Economics 2019-05-31 Evgeniy M. Ozhegov , Alina Ozhegova

We propose and analyze numerically a simple dynamical model that describes the firm behaviors under uncertainty of demand forecast. Iterating this simple model and varying some parameters values we observe a wide variety of market dynamics…

General Finance · Quantitative Finance 2017-11-22 Asaf Levi , Juan Sabuco , Miguel A. F. Sanjuan

One of the major barriers for the retailers is to understand the consumption elasticity they can expect from their contracted demand response (DR) clients. The current trend of DR products provided by retailers are not consumer-specific,…

Systems and Control · Electrical Eng. & Systems 2021-11-26 Kamalanathan Ganesan , João Tomé Saraiva , Ricardo J. Bessa

The integration of renewable generation poses operational and economic challenges for the electricity grid. For the core problem of power balance, the legacy paradigm of tailoring supply to follow random demand may be inappropriate under…

Systems and Control · Computer Science 2014-09-25 Ashutosh Nayyar , Matias Negrete-Pincetic , Kameshwar Poolla , Pravin Varaiya

We develop a method using parameterized linear equations to define trading mechanisms in market design models. Our method adeptly addresses challenges arising from factors such as complex endowments or coarse priorities, while offering…

Theoretical Economics · Economics 2025-08-18 Jingsheng Yu , Jun Zhang