Forward and Backward Dynamics in implicitly defined Overlapping Generations Models

In dynamic economic models derived from optimization principles, the forward equilibrium dynamics may not be uniquely defined, while the backward dynamics is well defined. We derive properties of the global forward equilibrium paths based on properties of the backward dynamics. We propose the framework of iterated function systems (IFS) to describe the set of forward equilibria, and apply the IFS framework to a one- and a two-dimensional version of the overlapping generations (OLG)-model. We show that, if the backward dynamics is chaotic and has a homoclinic orbit (a “snap-back repellerâ€) the set of forward equilibrium paths converges to a fractal attractor. Forward equilibria may be interpreted as sunspot equilibria, where a random sunspot sequence determines equilibrium selection at each date.

Efficient depolymerization of lignin to biobased chemicals using a two-step approach involving ozonation in a continuous flow microreactor followed by catalytic hydrotreatment

Lignin is a promising feedstock for the replacement of conventional carbon sources for the production of chemicals and fuels. In this paper, results are reported for the depolymerization of various residual lignins in the absence of a catalyst by utilizing ozone. Reactions were performed in a microreactor setup ensuring high gas-liquid mass transfer rates, a low inventory of ozone, and straightforward scale-up possibilities. The ozonation is demonstrated using a representative model compound (vanillin) and various lignins (pyrolytic and organosolv) dissolved in methanol (2.5 wt %). Experiments were performed under ambient conditions, at gas-liquid flow ratios ranging from 30 to 90 and short residence times on the order of 12-24 s. Analyses of the products after methanol removal revealed the presence of (di)carboxylic acids, methyl esters, and acetals. Extensive depolymerization was achieved (i.e., up to 30% for pyrolytic lignin and 70% for organosolv lignins). Furthermore, a two-step approach in which the ozonated lignin is further hydrotreated (350-400 degrees C, 100 bar H-2, 4 h, Pd/C as catalyst) showed a substantial increase in depolymerization efficiency, yielding a 2.5-fold increased monomer yield in the product oil compared to a hydrotreatment step only

Quantifying trading behavior in financial markets using Google Trends

Crises in financial markets affect humans worldwide. Detailed market data on trading decisions reflect some of the complex human behavior that has led to these crises. We suggest that massive new data sources resulting from human interaction with the Internet may offer a new perspective on the behavior of market participants in periods of large market movements. By analyzing changes in Google query volumes for search terms related to finance, we find patterns that may be interpreted as “early warning signs” of stock market moves. Our results illustrate the potential that combining extensive behavioral data sets offers for a better understanding of collective human behavior

Dynamical instabilities in a simple minority game with discounting

We explore the effect of discounting and experimentation in a simple model of interacting adaptive agents. Agents belong to either of two types and each has to decide whether to participate a game or not, the game being profitable when there is an excess of players of the other type. We find the emergence of large fluctuations as a result of the onset of a dynamical instability which may arise discontinuously (increasing the discount factor) or continuously (decreasing the experimentation rate). The phase diagram is characterized in detail and noise amplification close to a bifurcation point is identified as the physical mechanism behind the instability.Comment: 8 page

Overcoming cross-cultural group work tensions: mixed student perspectives on the role of social relationships

As universities worldwide rapidly internationalise, higher education classrooms have become unique spaces for collaboration between students from different countries. One common way to encourage collaboration between diverse peers is through group work. However, previous research has highlighted that cross-cultural group work can be challenging and has hinted at potential social tensions. To understand this notion better, we have used robust quantitative tools in this study to select 20 participants from a larger classroom of 860 students to take part in an in-depth qualitative interview about cross-cultural group work experiences. Participant views on social tensions in cross-cultural group work were elicited using a unique mediating artefact method to encourage reflection and in-depth discussion. In our analysis of emergent interview themes, we compared student perspectives on the role of social relationships in group work by their academic performance level. Our findings indicated that all students interviewed desired the opportunity to form social relationships with their group work members, but their motivations for doing so varied widely by academic performance level