Consumer Heterogeneity and Markups over the Business Cycle: Evidence from the Airline Industry

We analyze price dispersion in the airline industry in order to determine the e®ects of the business cycle on markup variations. We ¯nd that the cycle can a®ect the degree to which airlines can price discriminate between di®erent consumer types, ultimately a®ecting the degree of price dispersion. Performing a ¯xed-e®ects panel analysis on 17 years of data covering two business cycles, we ¯nd that price dispersion is highly procyclical. Estimates show that a rise in the output gap of one percentage point increases the interquartile range by 1.6 percent. These results suggest that markups move procyclically in the airline industry, such that during booms in the cycle, the ¯rm can signi¯cantly raise the markup charged to those with high willingness to pay. Our analysis suggests that this impact on the ¯rm's ability to price discriminate imposes extra pro¯t risk to the ¯rm over and above cost variations.

Price discrimination and business-cycle risk

A parsimonious theoretical model of second degree price discrimination suggests that the business cycle will affect the degree to which firms are able to price-discriminate between different consumer types. We analyze price dispersion in the airline industry to assess how price discrimination can expose airlines to aggregate-demand fluctuations. Performing a panel analysis on seventeen years of data covering two business cycles, we find that price dispersion is highly procyclical. Estimates show that a rise in the output gap of 1 percentage point is associated with a 1.9 percent increase in the interquartile range of the price distribution in a market. These results suggest that markups move procyclically in the airline industry, such that during booms in the cycle, firms can significantly raise the markup charged to those with a high willingness to pay. The analysis suggests that this impact on firms' ability to price-discriminate results in additional profit risk, over and above the risk that comes from variations in cost.

Microwave photon detectors based on semiconducting double quantum dots

Detectors of microwave photons find applications in different fields ranging from security to cosmology. Due to the intrinsic difficulties related to the detection of vanishingly small energy quanta ¯hω, significant portions of the microwave electromagnetic spectrum are still uncovered by suitable techniques. No prevailing technology has clearly emerged yet, although different solutions have been tested in different contexts. Here, we focus on semiconductor quantum dots, which feature wide tunability by external gate voltages and scalability for large architectures. We discuss possible pathways for the development of microwave photon detectors based on photon-assisted tunneling in semiconducting double quantum dot circuits. In particular, we consider implementations based on either broadband transmission lines or resonant cavities, and we discuss how developments in charge sensing techniques and hybrid architectures may be beneficial for the development of efficient photon detectors in the microwave range

Franck-Condon Blockade in a Single-Molecule Transistor

We investigate vibron-assisted electron transport in single-molecule transistors containing an individual Fe4 Single-Molecule Magnet. We observe a strong suppression of the tunneling current at low bias in combination with vibron-assisted excitations. The observed features are explained by a strong electron-vibron coupling in the framework of the Franck-Condon model supported by density-functional theory

Probing Transverse Magnetic Anisotropy by Electronic Transport through a Single-Molecule Magnet

By means of electronic transport, we study the transverse magnetic anisotropy of an individual Fe$_4$ single-molecule magnet (SMM) embedded in a three-terminal junction. In particular, we determine in situ the transverse anisotropy of the molecule from the pronounced intensity modulations of the linear conductance, which are observed as a function of applied magnetic field. The proposed technique works at temperatures exceeding the energy scale of the tunnel splittings of the SMM. We deduce that the transverse anisotropy for a single Fe$_4$ molecule captured in a junction is substantially larger than the bulk value.Comment: 18 pages with 16 figures; version as publishe

Direct Observation of Magnetic Anisotropy in an Individual Fe4 Single-Molecule Magnet

We study three-terminal charge transport through individual Fe4 single-molecule magnets. Magnetic anisotropy of the single molecule is directly observed by introducing a spectroscopic technique based on measuring the position of the degeneracy point as a function of gate voltage and applied magnetic field. A nonlinear field-dependence is observed which changes by rotating the sample and is, thus, a direct proof of magnetic anisotropy. The sensitivity of this method allows us to observe small changes in the orientation and magnitude of the anisotropy in different charge states. We find that the easy axes in adjacent states are (almost) collinear

Electron transport through single Mn12 molecular magnets

We report transport measurements through a single-molecule magnet, the Mn12 derivative [Mn12O12(O2C-C6H4-SAc)16(H2O)4], in a single-molecule transistor geometry. Thiol groups connect the molecule to gold electrodes that are fabricated by electromigration. Striking observations are regions of complete current suppression and excitations of negative differential conductance on the energy scale of the anisotropy barrier of the molecule. Transport calculations, taking into account the high-spin ground state and magnetic excitations of the molecule, reveal a blocking mechanism of the current involving non-degenerate spin multiplets.Comment: Accepted for Phys. Rev. Lett., 5 pages, 4 figure

Electric Field Controlled Magnetic Anisotropy in a Single Molecule

We have measured quantum transport through an individual Fe$_4$ single-molecule magnet embedded in a three-terminal device geometry. The characteristic zero-field splittings of adjacent charge states and their magnetic field evolution are observed in inelastic tunneling spectroscopy. We demonstrate that the molecule retains its magnetic properties, and moreover, that the magnetic anisotropy is significantly enhanced by reversible electron addition / subtraction controlled with the gate voltage. Single-molecule magnetism can thus be electrically controlled

Calibration-Free and High-Sensitivity Microwave Detectors Based on InAs/InP Nanowire Double Quantum Dots

At the cutting-edge of microwave detection technology, novel approaches which exploit the interaction between microwaves and quantum devices are rising. In this study, microwaves are efficiently detected exploiting the unique transport features of InAs/InP nanowire double quantum dot-based devices, suitably configured to allow the precise and calibration-free measurement of the local field. Prototypical nanoscale detectors are operated both at zero and finite source-drain bias, addressing and rationalizing the microwave impact on the charge stability diagram. The detector performance is addressed by measuring its responsivity, quantum efficiency and noise equivalent power that, upon impedance matching optimization, are estimated to reach values up to approximate to 2000 A W-1, 0.04 and root HZ, respectively. The interaction mechanism between the microwave field and the quantum confined energy levels of the double quantum dots is unveiled and it is shown that these semiconductor nanostructures allow the direct assessment of the local intensity of the microwave field without the need for any calibration tool. Thus, the reported nanoscale devices based on III-V nanowire heterostructures represent a novel class of calibration-free and highly sensitive probes of microwave radiation, with nanometer-scale spatial resolution, that may foster the development of novel high-performance microwave circuitries