Emission Targets and Equilibrium Choice of Technique

We study the technological pre-conditions for a cost-minimizing choice of technique in the presence of government emission targets on by- products of production. Whether a by-product is a desirable commodity or an undesirable pollutant is determined endogeneously as part of the price-quantity equilibrium solution. Non-trivial counter-examples highlight the potential risk of over-ambitious pollution targets. We show that pollution targets can be supported by the appropriate taxes providing that technology allows for a certain type of labour-intensive pollution abatement activities. Our proof is constructive: the tax equilibria we posit can be computed by the Lemke Complementary Pivoting Algorithm.Multisectoral Growth Theory, Choice of Technique, Pollution Taxes, Permit Markets, Lemke Algorithm

Validity of black hole complementarity in the BTZ black hole

Based on the gedanken experiment for black hole complementarity in the Schwarzschild black hole, we calculate the energy required to duplicate information in the BTZ black hole under the assumption of absorbing boundary condition and its dual solution of the black string, respectively, in order to justify the validity of the no-cloning theorem in quantum mechanics. For the BTZ black hole, the required energy for the duplication of information can be made fairly small, whereas for the black string it exceeds the total mass of the black string, although they are related to each other under the dual transformation. So, the duplication of information might be possible in the BTZ black hole in contrast to the case of the black string, so that the no-cloning theorem could be violated for the former case. To save the duplication of information for the BTZ black hole, we perform an improved gedanken experiment by using the local thermodynamic quantities near the horizon rather than those defined at infinity, and show that the no-cloning theorem could be made valid even in the BTZ black hole. We also discuss how this local treatment for the no-cloning theorem can be applied to the black string as well as the Schwarzschild black hole innocuously.Comment: 14 pages, 1 figure, version to appear in PL

On the finite termination of an entropy function based smoothing Newton method for vertical linear complementarity problems

By using a smooth entropy function to approximate the non-smooth max-type function, a vertical linear complementarity problem (VLCP) can be treated as a family of parameterized smooth equations. A Newton-type method with a testing procedure is proposed to solve such a system. We show that the proposed algorithm finds an exact solution of VLCP in a finite number of iterations, under some conditions milder than those assumed in literature. Some computational results are included to illustrate the potential of this approach.Newton method;Finite termination;Entropy function;Smoothing approximation;Vertical linear complementarity problems

Stable schedule matching under revealed preference

Baiou and Balinski (Math. Oper. Res., 27 (2002) 485) studied schedule matching where one determines the partnerships that form and how much time they spend together, under the assumption that each agent has a ranking on all potential partners. Here we study schedule matching under more general preferences that extend the substitutable preferences in Roth (Econometrica 52 (1984) 47) by an extension of the revealed preference approach in Alkan (Econom. Theory 19 (2002) 737). We give a generalization of the GaleShapley algorithm and show that some familiar properties of ordinary stable matchings continue to hold. Our main result is that, when preferences satisfy an additional property called size monotonicity, stable matchings are a lattice under the joint preferences of all agents on each side and have other interesting structural properties