314 research outputs found
An Economic Study of the Effect of Android Platform Fragmentation on Security Updates
Vendors in the Android ecosystem typically customize their devices by
modifying Android Open Source Project (AOSP) code, adding in-house developed
proprietary software, and pre-installing third-party applications. However,
research has documented how various security problems are associated with this
customization process.
We develop a model of the Android ecosystem utilizing the concepts of game
theory and product differentiation to capture the competition involving two
vendors customizing the AOSP platform. We show how the vendors are incentivized
to differentiate their products from AOSP and from each other, and how prices
are shaped through this differentiation process. We also consider two types of
consumers: security-conscious consumers who understand and care about security,
and na\"ive consumers who lack the ability to correctly evaluate security
properties of vendor-supplied Android products or simply ignore security. It is
evident that vendors shirk on security investments in the latter case.
Regulators such as the U.S. Federal Trade Commission have sanctioned Android
vendors for underinvestment in security, but the exact effects of these
sanctions are difficult to disentangle with empirical data. Here, we model the
impact of a regulator-imposed fine that incentivizes vendors to match a minimum
security standard. Interestingly, we show how product prices will decrease for
the same cost of customization in the presence of a fine, or a higher level of
regulator-imposed minimum security.Comment: 22nd International Conference on Financial Cryptography and Data
Security (FC 2018
Entry and fiscal policy effectiveness in a small open economy within a Monetary Union
In this article I develop an imperfectly competitive dynamic general equilibrium model for a small open economy integrated in a monetary union. Here, the type of entry in the non-traded goods’ sector affects fiscal policy effectiveness. Fiscal policy effectiveness is enlarged when aggregate demand stimuli increase intra-industrial competition (case I). This is due to the counter-cyclical mark-up mechanism generated by entry. Such a mechanism is absent in the usual monopolistic competition where entry only has a sharing effect (case II).info:eu-repo/semantics/publishedVersio
A generalized Tullock contest
We construct a generalized Tullock contest under complete information where contingent upon winning or losing, the payoff of a player is a linear function of prizes, own effort, and the effort of the rival. This structure nests a number of existing contests in the literature and can be used to analyze new types of contests. We characterize the unique symmetric equilibrium and show that small parameter modifications may lead to substantially different types of contests and hence different equilibrium effort levels
Learning a Factor Model via Regularized PCA
We consider the problem of learning a linear factor model. We propose a
regularized form of principal component analysis (PCA) and demonstrate through
experiments with synthetic and real data the superiority of resulting estimates
to those produced by pre-existing factor analysis approaches. We also establish
theoretical results that explain how our algorithm corrects the biases induced
by conventional approaches. An important feature of our algorithm is that its
computational requirements are similar to those of PCA, which enjoys wide use
in large part due to its efficiency
Manifold Elastic Net: A Unified Framework for Sparse Dimension Reduction
It is difficult to find the optimal sparse solution of a manifold learning
based dimensionality reduction algorithm. The lasso or the elastic net
penalized manifold learning based dimensionality reduction is not directly a
lasso penalized least square problem and thus the least angle regression (LARS)
(Efron et al. \cite{LARS}), one of the most popular algorithms in sparse
learning, cannot be applied. Therefore, most current approaches take indirect
ways or have strict settings, which can be inconvenient for applications. In
this paper, we proposed the manifold elastic net or MEN for short. MEN
incorporates the merits of both the manifold learning based dimensionality
reduction and the sparse learning based dimensionality reduction. By using a
series of equivalent transformations, we show MEN is equivalent to the lasso
penalized least square problem and thus LARS is adopted to obtain the optimal
sparse solution of MEN. In particular, MEN has the following advantages for
subsequent classification: 1) the local geometry of samples is well preserved
for low dimensional data representation, 2) both the margin maximization and
the classification error minimization are considered for sparse projection
calculation, 3) the projection matrix of MEN improves the parsimony in
computation, 4) the elastic net penalty reduces the over-fitting problem, and
5) the projection matrix of MEN can be interpreted psychologically and
physiologically. Experimental evidence on face recognition over various popular
datasets suggests that MEN is superior to top level dimensionality reduction
algorithms.Comment: 33 pages, 12 figure
Demographic approach to the secular clergy in Seventeenth Century Murcia
ArtĂculo de la secciĂłn: EstudiosPara numerosos autores del siglo XVII, el excesivo nĂşmero de clĂ©rigos era una de
las causas de la crisis de la MonarquĂa Hispánica. Sin embargo, no se dispone de datos fiables que corroboren estos planteamientos. Existe para la ciudad de Murcia una documentaciĂłn que utilizándose con mucha cautela puede servir para tener una idea de los efectivos del clero secular, su distribuciĂłn, el porcentaje que representaba en el conjunto de la poblaciĂłn asĂ como su evoluciĂłn a lo largo de la centuria. A la luz de esta informaciĂłn podremos juzgar si las quejas de los tratadistas estaban justificadas.For many Seventeenth Century authors, the excessive number of clergymen was
one of the causes of the crisis of the Hispanic Monarchy. However, it is not possible to get reliable data for correborating these positions. Exists for the city of Murcia a documentation that being used with much caution can serve to have an idea of the number of the secular clergy, its distribution, the percentage that was representing on the whole of the population, as well as its evolution throughout the century. With all this information we shall be able to judge if the writers were right.Departamento de Historia Moderna y de América, Universidad de Granada
Government policy failure in public support for research and development
peer-reviewedPromoting Research and Development (R&D) and innovative activity is a key element of the EU Lisbon Agenda and is seen as playing a central part in stimulating economic development. In this paper we argue that, even allowing for benevolent policy-makers, informational asymmetries can lead to a misallocation of public support for R&D, hence government policy failure, with the potential to exacerbate preexisting market failures. Initially, we explore alternative allocation mechanisms for public support, which can help to minimize the scale of these government policy failures. Of these mechanisms (grants, tax credits, or allocation rules based on past performance), our results suggest that none is universally most efficient. Rather, the effectiveness of each allocation rule depends on the severity of financial constraints and on the level of innovative capabilities of the firms themselves.ACCEPTEDpeer-reviewe
Relocation and investment in R&D by firms
The literature on foreign direct investment has analyzed corporate location decisions when firms invest in R&D to reduce production costs. Such firms may set up new plants in other developed countries while maintaining their domestic plants. In contrast, we here consider firms that close down their domestic operations and relocate to countries where wage costs are lower. Thus, we assume that firms may reduce their production costs by investing in R&D and likewise by moving their plants abroad. We show that these two mechanisms are complementary. When a firm relocates it invests more in R&D than when it does not change its location and, therefore, its production cost is lower in the first case. As a result, investment in R&D encourages firms to relocate.info:eu-repo/semantics/publishedVersio
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