Procyclical Monetary Policy and Governance

Weak governance adversely affects firm’s net worth and consequently the value of its collateral. This negative impact on the collateral reduces the external credit available for importing inputs constraining potential output. As a result, a stronger procyclical monetary policy stance is adopted for protecting the exchange rate and hence arresting the degradation in the collateral constraint.Collateral Constraints; Governance; Monetary Policy

Nonlocality without inequality for spin-s system

We analyze Hardy's non-locality argument for two spin-s systems and show that earlier solution in this regard was restricted due to imposition of some conditions which have no role in the argument of non-locality. We provide a compact form of non-locality condition for two spin-s systems and extend it to n number of spin-s particles. We also apply more general kind of non-locality argument still without inequality, to higher spin system.Comment: 6 page

Local Doubling Dimension of Point Sets

We introduce the notion of t-restricted doubling dimension of a point set in Euclidean space as the local intrinsic dimension up to scale t. In many applications information is only relevant for a fixed range of scales. We present an algorithm to construct a hierarchical net-tree up to scale t which we denote as the net-forest. We present a method based on Locality Sensitive Hashing to compute all near neighbours of points within a certain distance. Our construction of the net-forest is probabilistic, and we guarantee that with high probability, the net-forest is supplemented with the correct neighbouring information. We apply our net-forest construction scheme to create an approximate Cech complex up to a fixed scale; and its complexity depends on the local intrinsic dimension up to that scale

Connecting People

This paper presents a model in which firms invest on their customer-networks to maintain current and future profits. The model is used to illustrate how the costs of maintaining networks and uncertainties about the customer-networks reduce the importance of making investments on the customer-based. Empirical evidence provides support for the theory.Network costs, Uncertainty, Pricing