Government Spending Under Non-Separability: a Theoretical Analysis

In this paper we derive analytic implicit form conditions for the qualitative analysis of government spending multipliers and the optimal level of government spending in presence of non-separability between private and public components of aggregate demand. Using the simplest neo-classical flexible price model with no capital accumulation, we show that Edgeworth dependence is not a suitable condition to automatically assess the signs of the consumption and income multipliers, for which a more complex analysis must be carried out. We propose a detailed investigation of the form and the characteristics of the involved utility functions, which are crucial to such evaluation. We also show that if Edgeworth complementarity is strong enough, a public spending stimulus can raise at the same time private consumption and real activity. In order to reconcile our general framework with existing literature, we discuss recent examples of non-separable functional forms from the standpoint of our results, and argue that their consistency relies on specific assumptions about steady- state points.

Regulating Environmental Externalities through Public Firms: A Differential Game

We investigate the possibility of using public firms to regulate polluting emissions in a Cournot oligopoly where production takes place at constant returns to scale and entails a negative environmental externality. We model the problem as a differential game and investigate (i) the Cournot-Nash game among profit-seeking firms; (ii) the Markov Perfect Nash equilibrium under social planning, where the industry output is entirely controlled by a benevolent planner aiming at the maximisation of social welfare; and (iii) the Markov Perfect Nash equilibrium in a mixed setup where at least one firm is public, while the others remain profit-seeking agents. Our analysis identifies the conditions whereby having a mixed market as a regulatory instrument suffices to drive the industry to the same output, externality and social welfare as under planning, both along the optimal path and in steady state.

Open Innovation in a Dynamic Cournot Duopoly

We analyze an Open Innovation process in a Cournot duopoly using a differential game approach where knowledge spillovers are endogenously determined via the R&D process. The game produces multiple steady states, allowing for an asymmetric solution where a firm may trade off the R&D investment against information absorption from the rival.

INTEGRATED PHOTOGRAMMETRIC SURVEY AND BIM MODELLING FOR THE PROTECTION OF SCHOOL HERITAGE, APPLICATIONS ON A CASE STUDY

The contribution, considering the use of low-cost photogrammetric detection methodologies and the use of asset Historical-BIM, has as its aim the theme of knowledge and the adaptation of safety in school buildings, a topic brought to attention by the many situations of seismic risk that have interested the central Apennines in Italy. The specific investigation is referred to the Abruzzo region, hit by the recent earthquakes of 2016 and 2009 that have highlighted the vulnerability of the building structures involved in a large seismic crater covering large areas of the territory. The need to consider in advance the performance standards of building components, especially concerning the strategic ways of the functions contained in them, starts here. In this sense, the school buildings have emerged among the types on which to pay attention, a study theme to be promptly considered, considering the functions performed within them and the possible criticality of such constructions, often dated, enlarged or readjusted without appropriate seismic adaptation plans. From here derives the purpose of the research that is directed towards a systematic recognition of the scholastic heritage, deriving from objective and rapid surveys at low cost, taking into consideration the as-built and the different formal and structural aspects that define the architectural organisms to analyse and manage through three-dimensional models that can be interrogated using HBIM connected to databases containing information of a structural and functional nature. In summary, through the implementation of information in the BIM model, it will be possible to query and obtain in real time all the necessary information to optimize, in terms of efficiency, costs, and future maintenance operations

The socially responsible choice in a duopolistic market: a dynamic problem of “ethical product” differentiation

The increasing attention of profit maximizing corporations to corporate social responsibility (CSR) is a new stylized fact of the contemporary economic environment. In our theoretical analysis we model CSR adoption as the optimal response of a profit maximizing firm to the competition of a not for profit corporate pioneer in the presence of a continuum of consumers with heterogeneous preferences towards the social and environmental features of the final good. CSR adoption implies a trade-off since, on the one side, it raises production costs but, on the other side, it leads to accumulation of “ethical capital”.We investigate conditions under which the profit maximizing firm switches from price to price and CSR competition by comparing monopoly and duopoly equilibria and their consequences on aggregate social responsibility and consumer welfare. Our findings provide a theoretical background for competition between profit maximizing incumbents and not for profit entrants in markets such as fair trade, organic food, ethical banking and ethical finance

A Stochastic Optimal Control Model of Pollution Abatement

Link alla rivista: http://www.e-ndst.kiev.ua/v10n2.ht