111,132 research outputs found
Accuracy of numerical solutions using the eulers equation residuals
In this paper we derive sorne asymptotic properties on the accuracy of numerical solutions. We sIlow tIlat the approximation error of the policy function is of the same order of magnitude as the size of the Euler equation residuals. Moreover, for bounding this approximation error tIle most relevant parameters are the discount factor and the curvature of the return function. These findings provide theoretical foundations for the construction of tests that can assess the performance of alternative computational methods
On the policy function in continuos time economic models
In this paper, I consider a general class of continuous-time economic models with unbounded horizon. I study the sets of conditions under which the policy function is continuous, Lipschitz continuous, and Cl differentiable. 1 also single out certain postulates which may prevent higher-order differentiability. The analysis provides, therefore, a fmn foundation to the use of dynamic programming methods in continuous time models with unbounded horizo
Consistency properties of a simulation-based estimator for dynamic processes
This paper considers a simulation-based estimator for a general class of
Markovian processes and explores some strong consistency properties of the
estimator. The estimation problem is defined over a continuum of invariant
distributions indexed by a vector of parameters. A key step in the method of
proof is to show the uniform convergence (a.s.) of a family of sample
distributions over the domain of parameters. This uniform convergence holds
under mild continuity and monotonicity conditions on the dynamic process. The
estimator is applied to an asset pricing model with technology adoption. A
challenge for this model is to generate the observed high volatility of stock
markets along with the much lower volatility of other real economic aggregates.Comment: Published in at http://dx.doi.org/10.1214/09-AAP608 the Annals of
Applied Probability (http://www.imstat.org/aap/) by the Institute of
Mathematical Statistics (http://www.imstat.org
Hamilton-Jacobi Approach for Power-Law Potentials
The classical and relativistic Hamilton-Jacobi approach is applied to the
one-dimensional homogeneous potential, , where and
are continuously varying parameters. In the non-relativistic case, the
exact analytical solution is determined in terms of , and the total
energy . It is also shown that the non-linear equation of motion can be
linearized by constructing a hypergeometric differential equation for the
inverse problem . A variable transformation reducing the general problem
to that one of a particle subjected to a linear force is also established. For
any value of , it leads to a simple harmonic oscillator if , an
"anti-oscillator" if , or a free particle if E=0. However, such a
reduction is not possible in the relativistic case. For a bounded relativistic
motion, the first order correction to the period is determined for any value of
. For , it is found that the correction is just twice that one
deduced for the simple harmonic oscillator (), and does not depend on the
specific value of .Comment: 12 pages, Late
High contrast optical modulation by surface acoustic waves
Numerical Calculations are employed to study the modulation of light by
surface acoustic waves (SAWs) in photonic band gap (PBG) structures. The on/off
contrast ratio in PBG switch based on optical cavity is determined as a
function of the SAW induced dielectric modulation. We show that these
structures exhibit high contrast ratios even for moderate acousto-optic
couplingComment: 7 manuscript pages and 5 figures; submitted to Applied Physics
Letters on April 24, 200
The relevance of random choice in tests of Bell inequalities with atomic qubits
It is pointed out that a loophole exists in experimental tests of Bell
inequality using atomic qubits, due to possible errors in the rotation angles
of the atomic states. A sufficient condition is derived for closing the
loophole
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