Export and benefits of hedging in emerging economies

We study the impact of exchange rate risk upon export production within an emerging economy lacking in currency forward markets. However there exists a financial asset whose price is correlated with the relevant foreign currency. We present conditions under which export production is stimulated when the hedging device becomes more effective. In any case the exporting firm benefits from imperfectly hedging exchange rate risk. --Emerging markets,transition economy,export,exchange rate risk,price risk,hedging

Export production, hedging exchange rate risk: the duopoly case

This paper studies a Cournot duopoly in international trade so that the firms are exposed to exchange rate risk. A hedging opportunity is introduced by a forward market where the foreign currency can be traded on. We investigate two settings: First we assume that hedging and output decisions are taken simultaneously. We show that hedging is just done for risk managing reasons as it is not possible to use hedging strategically. In this setting the well-known separation result of the competitive firm holds if both firms have the hedging opportunity. In the second setting the hedging decisions are made before the output decisions. We show that hedging is used not only to manage the risk exposure but also as a strategic device. Furthermore we find that no separation result can be stated. --Exchange Rate risk,hedging,exports,duopoly

Economic Feasibility of Semi-Underground Pumped Storage Hydropower Plants in Open-Pit Mines

This work aims at the economic evaluation of a semi-underground pumped hydro storage power plant erected in an abandoned open-pit mine. For the exploratory model-based analysis, we develop and apply both a simple deterministic and a stochastic net present value (NPV) approach, the latter of which uses a Monte Carlo simulation to account for revenue uncertainty from electricity price fluctuations. The analytical framework developed is applied to two promising sites in the Rheinland region in Germany, Hambach and Inden, making reasonable parameter value assumptions and considering and ignoring the lengthy duration of lower reservoir flooding. The investor’s value-at-risk is computed for alternative performance indicators (NPV, net cash recovery, profit-to-investment ratio, and specific production costs) to compare the different outcomes in terms of the project’s financial risk distribution. Calculations show that a semi-underground pumped hydro storage power plant in an abandoned open-pit mine can be constructed at reasonably low investment costs and operated at low specific production costs. However, because the investment has to be made long before the pit lake is (naturally) flooded—a process that for realistic flow rates may take up to 20 years—the project is highly uneconomical and would require substantial subsidies, as compared to a situation where flooding happens immediately

Using “Panel Reports” to Advance Scholarly Discourse: A Change in Editorial Policy and Guidelines for Panel Report Authors

“Panel reports” reflect a particular category of submissions that authors can make to the Communications of the Association for Information Systems (CAIS). As the CAIS website states, panel reports (i.e., papers that report on panels, debates, symposia, workshops, and similar events) differ from traditional research papers in that they “have to clearly position the matter of discussion at the event, highlight the relevance of event and topic and outline the different views on the topic that emanated at the events” (see https://aisel.aisnet.org/cais/panel_reports.pdf). While this definition has persisted for some time and still holds true, it leaves room for interpretation as to what constitutes a contribution and how one knows that a particular paper has made enough of one. In this editorial, we interpret and elaborate on these principles based on our collective experience with such reports

Modulations of Heart Rate, ECG, and Cardio-Respiratory Coupling Observed in Polysomnography

The cardiac component of cardio-respiratory polysomnography is covered by ECG and heart rate recordings. However their evaluation is often underrepresented in summarizing reports. As complements to EEG, EOG, and EMG, these signals provide diagnostic information for autonomic nervous activity during sleep. This review presents major methodological developments in sleep research regarding heart rate, ECG and cardio-respiratory couplings in a chronological (historical) sequence. It presents physiological and pathophysiological insights related to sleep medicine obtained by new technical developments. Recorded nocturnal ECG facilitates conventional heart rate variability analysis, studies of cyclical variations of heart rate, and analysis of ECG waveform. In healthy adults, the autonomous nervous system is regulated in totally different ways during wakefulness, slow-wave sleep, and REM sleep. Analysis of beat-to-beat heart-rate variations with statistical methods enables us to estimate sleep stages based on the differences in autonomic nervous system regulation. Furthermore, up to some degree, it is possible to track transitions from wakefulness to sleep by analysis of heart-rate variations. ECG and heart rate analysis allow assessment of selected sleep disorders as well. Sleep disordered breathing can be detected reliably by studying cyclical variation of heart rate combined with respiration-modulated changes in ECG morphology (amplitude of R wave and T wave)

Lesson Learnt and Future of AI Applied to Manufacturing

This chapter touches on several aspects related to the role of Artificial Intelligence (AI) and Machine Learning (ML) in the manufacturing sector, and is split in different sub-chapters, focusing on specific new technology enablers that have the potential of solving or minimizing known issues in the manufacturing and, more in general, in the Industrial Internet of Things (IIoT) domain. After introducing AI/ML as a technology enabler for the IoT in general and for manufacturing in particular, the next four sections detail two key technology enablers (EdgeML and federated learning scenarios, challenges and tools), one most important area of the IoT system that needs to decrease energy consumption and increase reliability (reduce receiver Processing complexity and enhancing reliability through multi-connectivity uplink connections), and finally a glimpse at the future describing a promising new technology (Embodied AI), its link with millimetre waves connectivity and potential business impact