Essays on Learning and Strategic Investment PDF Download

Author: Peter Achim Wagner
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Author: E. I. Stearns
Publisher: John Wiley & Sons
ISBN:
Category : Business & Economics
Languages : en
Pages : 376

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"First class. A great job at collating our philosophy." - Warren Buffett"Very practical." - Charlie Munger"One of the top investment books of all time." - The Motley Fool"A must-read business book." - JP Morgan Private Banking"As much a business management book as a personal finance book." - Publishera's Weekly"One of the best books of the year. Two thumbs up!" - CNN (Financial News)"A serious investment course with entertainment thrown in." - Investora's Chronicle"The book on Buffett - a superb job!" - Forbes"Extraordinary - full of wisdom, humour and common sense." - Money"A classic on value investing and the definitive source on Buffett." - The Financial Times

Author: Lin William Cong
Publisher:
ISBN:
Category :
Languages : en
Pages :

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This thesis consists of two essays that examine several problems in corporate finance and mechanism design. The central theme is endogenous agency conflicts and their impact on dynamic investment decisions. The first essay features auctions of assets and projects with embedded real options, and subsequent exercises of these investment options. The essay shows timing and security choice of auctions endogenously misalign incentives among agents and derives the optimal auction design and exercise strategy. The second essay studies implications of endogenous learning on irreversible investment decisions, in particular, how learning gives rise to asymmetric information between managers and shareholders in decentralized firms. Depending on the quality of the project, the optimal contract between principal and agent distorts investments in ways that has not been examined in the literature. Specifically, in Chapter 1 of the dissertation, I study how governments and corporations auction real investment options using both cash and contingent bids. Examples include sales of natural resource leases, real estate, patents and licenses, and start-up firms with growth options. I incorporate both endogenous auction initiation and post-auction option exercise into the traditional auctions framework, and show that common security bids create moral hazard because the winning bidder's real option differs from the seller's. Consequently, investment could be either accelerated or delayed depending on the security design. Strategic auction timing affects auction initiation, security ranking, equilibrium bidding, and investment; it should be considered jointly with security design and the seller's commitment level. Optimal auction design aligns investment incentives using a combination of down payment and royalty payment, but inefficiently delays sale and investment. I also characterize informal negotiations as timing and signaling games in which bidders can initiate an auction and determine the forms of bids. I show that post-auction investments are efficient and bidding equilibria are equivalent to those of cash auctions. However, in this setting, bidders always initiate the informal auctions inefficiently early. In addition, I provide suggestive evidence for model predictions using data from the leasing and exploration of oil and gas tracts, which leads to several ongoing empirical studies. Altogether, these results reconcile theory with several empirical puzzles and imply novel predictions with policy relevance. In Chapter 2, I examine learning as an important source of managerial flexibility and how it naturally induces information asymmetry in decentralized firms. Timing of learning is crucial for investment decisions, and optimal strategies involve sequential thresholds for learning and investing. Incentive contracts are needed for learning and truthful reporting. The inherent agency conflicts alter investment behavior significantly, and are costly to investors and welfare. But contracting on learning restores efficiency with low future uncertainty or sufficient liquidity. Unlike prior studies, the moral hazard of learning accelerates good projects and delays bad projects. Even the best type's investment is distorted, and only when learning is contractible can adverse selection dominate learning.

Author: Graham L Giller
Publisher: World Scientific
ISBN: 9811273839
Category : Business & Economics
Languages : en
Pages : 217

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This book directly focuses on finding optimal trading strategies in the real world and supports that with a well-defined theoretical foundation that allows trading strategy problems to be solved. Critically, it also delivers a menu of actual solutions that can be applied by traders with various risk profiles and objectives in markets that exhibit substantial tail risk. It shows how the Markowitz approach leads to excessive risk taking, and trader underperformance, in the real world. It summarizes the key features of Utility Theory, the deficiencies of the Sharpe Ratio as a statistic, and develops an optimal decision theory with fully developed examples for both 'Normal' and leptokurtotic distributions.

Author: Jimmy Kyung-Soo Liew
Publisher:
ISBN:
Category :
Languages : en
Pages : 248

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Author: Matthew McCloud Selove
Publisher:
ISBN:
Category :
Languages : en
Pages : 151

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This dissertation consists of three essays on strategic and tactical issues in product design. The first essay presents a dynamic investment game in which firms that are initially identical develop assets which are specialized to different market segments. The model assumes there are increasing returns to investment in a segment, for example, due to word-of-mouth or learning curve effects. In equilibrium, firms that are only slightly different focus all of their investment in different segments, causing small random differences to expand into large permanent differences. Even though firms do not cooperate and do not make threats to punish each other, in the long run they divide the market, reaching the same outcome that they would if they cooperated to maximize joint profits. This second essay develops a model in which an incumbent has expertise in an old business format (e.g., running a full service airline), and a new firm enters the market with the possibility of using a new business format (e.g., running a "no frills" airline). Firms play a dynamic investment game in which the incumbent can invest in the new format and the entrant can invest in either format. If brand and format preferences are strong, and if it is easy to implement a format, then a firm already using one format does not invest in the other format, since such an attack would be met with swift retaliation. In this case, the entrant invests in the new format, while the incumbent avoids investing in order to retain the threat of investment as a punishment mechanism. The third essay shows that improved accuracy in conjoint analysis has important strategic implications. Even if two models provide unbiased part-worths, competitive game theory shows that the more accurate model (with lower error variance in an HB CBC model) implies that differentiation from competitors is more profitable. On the other hand, a less accurate model implies that each firm should forego differentiation and choose feature levels that provide customers the greatest utility (adjusting for marginal cost). I illustrate the theory by varying accuracy in a student-apparel application.

Author: Alexander Kouzmin
Publisher: IOS Press
ISBN: 9789051995046
Category : Business & Economics
Languages : en
Pages : 248

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The liberalization of trade and its questionable benefit; the increasing fluidity in the movement of people and trade across geo-political divides; the emergence of unregulated virtual trade and its implications on domestic economic policy; and the social implications of the new world order are all issues demanding on-going critical examination from a perspective beyond the common lens of neo-liberal economics. Such an examination is pursued in Kouzmin and Hayne edited volume Essays in Economic Globalization, Transnational Policies and Vulnerability, a collection of 13 diverse, challenging and, often, cautionary chapters contributed by an international cohort of scholars.

Author: Staff of the Harvard Crimson
Publisher: St. Martin's Griffin
ISBN: 125084598X
Category : Study Aids
Languages : en
Pages : 221

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Fifty all-new essays that got their authors into Harvard Business School, including GMAT scores, showing what worked, what didn’t, and how you can do it too. Competition to get into the nation’s top business schools has never been more intense. Harvard Business School in particular draws thousands of elite applicants from around the world. As admissions departments become increasingly selective, even the best and brightest need an edge. Writing a personal statement is a daunting part of the application process. In a specific amount of characters, applicants must weave together experiences and passions into a memorable narrative to set them apart from thousands of other applicants. While there is no magic formula for writing the perfect essay, picking up this book will put them on the right track. The Staff of the Harvard Crimson's 50 Successful Harvard Business School Application Essays includes fifty standout essays from students who successfully secured a spot at Harvard Business School. Each student has a unique set of experiences that led them to applying for an MBA. Each essay includes analysis by Crimson editors on essay qualities and techniques that worked, so readers can apply them to their own writing. This book will aid applicants in composing essays that reveal their passion for business and the discipline they will bring to this demanding program and profession. It will give them the extra help they need to get into the best business school programs in the world.

Author: Vibrant Publishers
Publisher: Vibrant Publishers
ISBN: 1636512135
Category : Study Aids
Languages : en
Pages : 399

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Learn how to master the ACT essay section with the latest edition of Winning Strategies For ACT Essay Writing: With 15 Sample Prompts The book is packed with effective tips, strategies and guidelines that will help you write the perfect essay. Featuring: i. Expert tips and strategies ii. Insights into how impressive essays are written iii. 15 sample prompts written in the latest ACT format iv. Prompts on different subjects to prepare you for every challenge v. Overview of the ACT essay section vi. Scoring rubric Inside are 15 sample prompts, carefully picked from a variety of subjects, which will prepare you to craft ACT-worthy essays. These prompts are presented in the same format as the ACT. You will be able to assess the argument, outline your essay, and write it in the allotted 40 minutes by using step-by-step techniques given in the book. The book will also enhance your critical thinking skills by helping you explore alternate opinions and assumptions, and understand how to approach the argument and create an effective essay. The variety of essay topics will strengthen your knowledge and help you expand your horizons, equipping your arsenal for facing the test with a composed mind. Along with this, the book also contains an overview of the ACT essay section and the scoring guidelines, which helps you understand the format and scoring guidelines before the actual test. By the time the book is finished, you'll be prepared to write a powerful and compelling essay. Face the ACT with ease and maximize your score. The new and improved edition of Winning Strategies For ACT Essay Writing is your ultimate guide to becoming test-ready. Your journey to ACT excellence starts here.

Author: Walter E. III Simmons
Publisher: Trafford Publishing
ISBN: 146694773X
Category : Business & Economics
Languages : en
Pages : 121

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Can investing be safe? Yes, but not free of all risk. Gear up and protect yourself from these risks with the help of Investment Strategies for Life. With his strong desire to help individuals become successful in investing in the stock market, Simmons weaves this book to help you become a great investor. He pours out his knowledge and allows you to browse through his methods that will inspire you on how to build and accomplish your financial goals. Delve into a self-help book and explore the complex world of the market, discover a step by step analysis of stocks and become successful in your goal!