Smallness of a commodity and partial equilibrium analysis

Partial equilibrium analysis has a conceptual dilemma that its object should be negligibly small in order to be free from income effect but then the consumer does not care for it and the notion of willingness to pay for it does not make sense. In the setting of a continuum of commodities, we propose a limiting procedure which transforms the general many-commodity framework into a partial single-commodity framework. In the limit, willingness to pay for a commodity is established as a density notion and it is shown to be free from income effect. This pins down an exact relationship between general equilibrium analysis and partial equilibrium analysis

Covariant statistical mechanics and the stress-energy tensor

After recapitulating the covariant formalism of equilibrium statistical mechanics in special relativity and extending it to the case of a non-vanishing spin tensor, we show that the relativistic stress-energy tensor at thermodynamical equilibrium can be obtained from a functional derivative of the partition function with respect to the inverse temperature four-vector \beta. For usual thermodynamical equilibrium, the stress-energy tensor turns out to be the derivative of the relativistic thermodynamic potential current with respect to the four-vector \beta, i.e. T^{\mu \nu} = - \partial \Phi^\mu/\partial \beta_\nu. This formula establishes a relation between stress-energy tensor and entropy current at equilibrium possibly extendable to non-equilibrium hydrodynamics.Comment: 4 pages. Final version accepted for publication in Phys. Rev. Let

Coordinating choice in partial cooperative equilibrium

In this paper we consider symmetric aggregative games and investigate partial cooperation between a portion of the players that sign a cooperative agreement and the rest of the players. Existence results of partial cooperative equilibria are obtained when the players who do not sign the agreement play a Nash equilibrium game having multiple solutions. Some applications in the supermodular case are discussed.Noncooperative games, cooperation, aggregative games, supermodular games.

Integrating Agricultural Input Expenditure into a South African Agricultural Sector’s Partial Equilibrium Model

Agricultural inputs expenditure has not been widely incorporated in most partial equilibrium models. Moreover, input costs are treated exogenous and the recursive link between input and output side of the sector is overlooked in few of the models that attempts to incorporate input expenditures. The study has addressed both issues by integrating agricultural input expenditures into the South African sectoral partial equilibrium model by endogenising input costs and recursively linking both input and output side of the agricultural sectors to enhance the results of a standard partial equilibrium model in analysing the effect of policies on agricultural sector.Agricultural Finance, Farm Management,

Quantum dense coding over Bloch channels

Dynamics of coded information over Bloch channels is investigated for different values of the channel's parameters. We show that, the suppressing of the travelling coded information over Bloch channel can be increased by decreasing the equilibrium absolute value of information carrier and consequently decreasing the distilled information by eavesdropper. The amount of decoded information can be improved by increasing the equilibrium values of the two qubits and decreasing the ratio between longitudinal and transverse relaxation times. The robustness of coded information in maximum and partial entangled states is discussed. It is shown that the maximum entangled states are more robust than the partial entangled state over this type of channels

Partial versus General Equilibrium Calorie and Revenue Effects of a Sugar-Sweetened Beverage Tax

The current obesity crisis in the United States is generating numerous alternative policy options for combating the problem. One alternative that has been widely proposed is an excise or sales tax on sugar-sweetened non-alcoholic beverages. This literature started out within a very simple partial equilibrium framework. Not considering the feedback effects (or general equilibrium effects) across interrelated market is a shortcoming of these partial equilibrium analyses. Our study is carried out to ascertain stochastic partial and general equilibrium calorie, body weight and revenue effects of a tax on sugar-sweetened beverages as well as incidence of such tax. We used Nielsen Homescan data on prices and quantities of selected non-alcoholic beverages purchased over the period January 1998 through December 2008. Probability density functions (pdfs) generated using simulations of calorie outcomes reveal that the calorie reduction due to tax on sugar-sweetened beverages is between 465 and 716 calories per person per month. However, consideration of both direct and indirect effects in generating the effect of the tax on sugar-sweetened beverages reveal reduction as low as 199 calories per person per month and as high as707 calories per person per month.Partial equilibrium, general equilibrium, tax effects, sugar-sweetened beverages, beverage tax, calorie effects, Agribusiness, Agricultural and Food Policy, Consumer/Household Economics, Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, Health Economics and Policy, D11, D12, I18,

Accessible Pareto-Improvements: Using Market Information to Reform Inefficiencies

We study Pareto improvements whose implementation requires knowledge of only market prices and traded quantities, not utility and demand functions. Quantity stabilizations (for example, the Lau, Qian, and Roland model of dual-track reform) give agents the right to repeat their earlier trades and hence require policymakers to know the quantities agents previously exchanged. While reasonable in some partial equilibrium contexts, such knowledge is implausible in general equilibrium. To diminish informational requirements further, we also consider price stabilizations, which hold constant the relative prices that consumers face. Although price stabilizations do not achieve first-best efficiency, they lead to Pareto-improvements and production efficiency. Moreover, the production efficiency advantage persists under price stabilization but not under quantity stabilization when some firms are not profit-maximizes; this difference can be critical in transition policies for planned economies. In addition to planning, we consider several other applications of quantity and price stabilization, both partial equilibrium and general equilibrium: removal of rent controls, deregulation of a cross-subsidizing public utility, and the entry of an autarkic economy into world trade. Not surprisingly, the most plausible candidates for quantity or price stabilization occur in partial equilibrium settings. Finally, we discuss some difficulties specific to general equilibrium models of transition economies. When the state completely rations trades under planning, it will usually need to operate at a deficit. Under reform, the state must raise revenue to close this deficit, and that will frequently prevent quantity stabilizations from achieving a Pareto improvement. But ex ante deficits do no pose a problem for price stabilization reform strategies.http://deepblue.lib.umich.edu/bitstream/2027.42/39782/3/wp398.pd

Advance booking, cancellations, and partial refunds

We develop methods for calculating profit-maximizing and socially optimal rates of partial refunds on customers' no-shows and cancellations. We demonstrate how partial refunds can be used to screen consumers according to their different probabilities of cancellation and no-shows. Finally, we show that the socially-optimal rate of partial refund exceeds the equilibrium rate of partial refund.