Prices, Profits, Proxies, and Production

This paper studies nonparametric identification and counterfactual bounds for heterogeneous firms that can be ranked in terms of productivity. Our approach works when quantities and prices are latent rendering standard approaches inapplicable. Instead, we require observation of profits or other optimizing-values such as costs or revenues, and either prices or price proxies of flexibly chosen variables. We extend classical duality results for price-taking firms to a setup with discrete heterogeneity, endogeneity, and limited variation in possibly latent prices. Finally, we show that convergence results for nonparametric estimators may be directly converted to convergence results for production sets.Comment: This paper was previously circulated with the title "Prices, Profits, and Production

Conic Optimization Theory: Convexification Techniques and Numerical Algorithms

Optimization is at the core of control theory and appears in several areas of this field, such as optimal control, distributed control, system identification, robust control, state estimation, model predictive control and dynamic programming. The recent advances in various topics of modern optimization have also been revamping the area of machine learning. Motivated by the crucial role of optimization theory in the design, analysis, control and operation of real-world systems, this tutorial paper offers a detailed overview of some major advances in this area, namely conic optimization and its emerging applications. First, we discuss the importance of conic optimization in different areas. Then, we explain seminal results on the design of hierarchies of convex relaxations for a wide range of nonconvex problems. Finally, we study different numerical algorithms for large-scale conic optimization problems.Comment: 18 page

Semiclassical regime of Regge calculus and spin foams

Recent attempts to recover the graviton propagator from spin foam models involve the use of a boundary quantum state peaked on a classical geometry. The question arises whether beyond the case of a single simplex this suffices for peaking the interior geometry in a semiclassical configuration. In this paper we explore this issue in the context of quantum Regge calculus with a general triangulation. Via a stationary phase approximation, we show that the boundary state succeeds in peaking the interior in the appropriate configuration, and that boundary correlations can be computed order by order in an asymptotic expansion. Further, we show that if we replace at each simplex the exponential of the Regge action by its cosine -- as expected from the semiclassical limit of spin foam models -- then the contribution from the sign-reversed terms is suppressed in the semiclassical regime and the results match those of conventional Regge calculus.Comment: 30 pages, no figures. Updated version with minor corrections, one reference adde

Effective Quantum Extended Spacetime of Polymer Schwarzschild Black Hole

The physical interpretation and eventual fate of gravitational singularities in a theory surpassing classical general relativity are puzzling questions that have generated a great deal of interest among various quantum gravity approaches. In the context of loop quantum gravity (LQG), one of the major candidates for a non-perturbative background-independent quantisation of general relativity, considerable effort has been devoted to construct effective models in which these questions can be studied. In these models, classical singularities are replaced by a "bounce" induced by quantum geometry corrections. Undesirable features may arise however depending on the details of the model. In this paper, we focus on Schwarzschild black holes and propose a new effective quantum theory based on polymerisation of new canonical phase space variables inspired by those successful in loop quantum cosmology. The quantum corrected spacetime resulting from the solutions of the effective dynamics is characterised by infinitely many pairs of trapped and anti-trapped regions connected via a space-like transition surface replacing the central singularity. Quantum effects become relevant at a unique mass independent curvature scale, while they become negligible in the low curvature region near the horizon. The effective quantum metric describes also the exterior regions and asymptotically classical Schwarzschild geometry is recovered. We however find that physically acceptable solutions require us to select a certain subset of initial conditions, corresponding to a specific mass (de-)amplification after the bounce. We also sketch the corresponding quantum theory and explicitly compute the kernel of the Hamiltonian constraint operator.Comment: 50 pages, 10 figures; v2: journal version, minor comment and references added; v3: minor corrections in section 5.3 to match journal versio