On the interpretation of the WTP/WTA gap as imprecise utility: an axiomatic analysis

The willingness-to-pay (WTP) and willingness-to-accept (WTA) disparity reported in a rich empirical literature suggests that people have only an imprecise idea of how valuable a good is to them. In this note, we provide axioms that formally relate this imprecision in the evaluation of a good to the imprecision in the utility function, in the sense that x is strictly preferred to y iff the WTP for x is larger than the WTA for y. The preference relation is therefore an interval order (Fishburn (1970)) with ``interval utility' equal to the WTP/WTA interval itself. Applications to preference for liquidity and the strength of the status quo bias are given.WTA/WTP gap, interval orders, imprecise utility, reference-dependent preferences, status quo bias

Simple Computational Methods for Measuring the Difference of Empirical Distributions: Application to Internal and External Scope Tests in Contingent Valuation

This paper develops a statistically unbiased and simple method for measuring the difference of independent empirical distributions estimated by bootstrapping or other simulation approaches. This complete combinatorial method is compared with other unbiased and biased methods that have been suggested in the literature, first in Monte Carlo simulations and then in a field test of external and internal scope testing in contingent valuation. Tradeoffs between methods are discussed. When the empirical distributions are not independent a straightforward difference test is suggested.Research Methods/ Statistical Methods,

Random matrix ensembles associated with Lax matrices

A method to generate new classes of random matrix ensembles is proposed. Random matrices from these ensembles are Lax matrices of classically integrable systems with a certain distribution of momenta and coordinates. The existence of an integrable structure permits to calculate the joint distribution of eigenvalues for these matrices analytically. Spectral statistics of these ensembles are quite unusual and in many cases give rigorously new examples of intermediate statistics

Perturbation approach to multifractal dimensions for certain critical random matrix ensembles

Fractal dimensions of eigenfunctions for various critical random matrix ensembles are investigated in perturbation series in the regimes of strong and weak multifractality. In both regimes we obtain expressions similar to those of the critical banded random matrix ensemble extensively discussed in the literature. For certain ensembles, the leading-order term for weak multifractality can be calculated within standard perturbation theory. For other models such a direct approach requires modifications which are briefly discussed. Our analytical formulas are in good agreement with numerical calculations.Comment: 28 pages, 7 figure

A note on the error analysis of classical Gram-Schmidt

An error analysis result is given for classical Gram--Schmidt factorization of a full rank matrix $A$ into $A=QR$ where $Q$ is left orthogonal (has orthonormal columns) and $R$ is upper triangular. The work presented here shows that the computed $R$ satisfies \normal{R}=\normal{A}+E where $E$ is an appropriately small backward error, but only if the diagonals of $R$ are computed in a manner similar to Cholesky factorization of the normal equations matrix. A similar result is stated in [Giraud at al, Numer. Math. 101(1):87--100,2005]. However, for that result to hold, the diagonals of $R$ must be computed in the manner recommended in this work.Comment: 12 pages This v2. v1 (from 2006) has not the biliographical reference set (at all). This is the only modification between v1 and v2. If you want to quote this paper, please quote the version published in Numerische Mathemati

Coordinates, modes and maps for the density functional

Special bases of orthogonal polynomials are defined, that are suited to expansions of density and potential perturbations under strict particle number conservation. Particle-hole expansions of the density response to an arbitrary perturbation by an external field can be inverted to generate a mapping between density and potential. Information is obtained for derivatives of the Hohenberg-Kohn functional in density space. A truncation of such an information in subspaces spanned by a few modes is possible. Numerical examples illustrate these algorithms.Comment: 15 pages, 9 figure

Entanglement of localized states

We derive exact expressions for the mean value of Meyer-Wallach entanglement Q for localized random vectors drawn from various ensembles corresponding to different physical situations. For vectors localized on a randomly chosen subset of the basis, tends for large system sizes to a constant which depends on the participation ratio, whereas for vectors localized on adjacent basis states it goes to zero as a constant over the number of qubits. Applications to many-body systems and Anderson localization are discussed.Comment: 6 pages, 4 figure