Investing in Real Estate: Mortgage Financing Practices and Optimal Holding Period

Real estate investments are typically characterized by high degrees of leverage and long-loan tenures. In perfect capital markets, leverage has no impact on the investment decision apart from tax considerations. However, the mortgage financing market is imperfect in many countries. In the presence of market imperfections, an optimal holding period exists for real property investments. We provide a simple rule to calculate the optimal holding period to compare the required rate of return with the leveraged rate of return on equity.

Investing in Real Estate : Mortgage Financing Practices and Optimal Holding Period

Real estate investments are typically characterized by high degrees of leverage and long loan tenures. In perfect capital markets, leverage has no impact on the investment decision apart from tax considerations. However, the mortgage financing market is imperfect in many countries. In the presence of market imperfections, an optimal holding period exists for real property investments. We provide a simple rule to calculate the optimal holding period is to compare the required rate of return with the leveraged rate of return on equity.mortgage financing, real estate, financial leverage, optimal holding period

Evaluation of oxygen-enrichment system for alternative fuel vehicles

This report presents results on the reduction in exhaust emissions achieved by using oxygen-enriched intake air on a flexible fuel vehicle (FFV) that used Indolene and M85 as test fuels. The standard federal test procedure (FTP) and the US Environmental Protection Agency`s (EPA`s) off-cycle (REP05) test were followed. The report also provides a review of literature on the oxygen membrane device and design considerations. It presents information on the sources and contributions of cold-phase emissions to the overall exhaust emissions from light-duty vehicles (LDVs) and on the various emission standards and present-day control technologies under consideration. The effects of oxygen-enriched intake air on FTP and off-cycle emissions are discussed on the basis of test results. Conclusions are drawn from the results and discussion, and different approaches for the practical application of this technology in LDVs are recommended

Longitudinal changes in prospective memory and their clinical correlates at 1-year follow-up in first-episode schizophrenia

This study aimed to investigate prospective memory (PM) and the association with clinical factors at 1-year follow-up in first-episode schizophrenia (FES). Thirty-two FES patients recruited from a university-affiliated psychiatric hospital in Beijing and 17 healthy community controls (HCs) were included. Time- and event-based PM (TBPM and EBPM) performances were measured with the Chinese version of the Cambridge Prospective Memory Test (CCAMPROMPT) at baseline and at one-year follow-up. A number of other neurocognitive tests were also administered. Remission was determined at the endpoint according to the PANSS score _ 3 for selected items. Repeated measures analysis of variance revealed a significant interaction between time (baseline vs. endpoint) and group (FES vs. HCs) for EBPM (F(1, 44) = 8.8, p = 0.005) and for all neurocognitive components. Paired samples ttests showed significant improvement in EBPM in FES (13.1±3.7 vs. 10.3±4.8; t = 3.065, p = 0.004), compared to HCs (15.7±3.6 vs. 16.5±2.3; t = -1.248, p = 0.230). A remission rate of 59.4% was found in the FES group. Analysis of covariance revealed that remitters performed significantly better on EBPM (14.9±2.6 vs. 10.4±3.6; F(1, 25) = 12.2, p = 0.002) than non-remitters at study endpoint. The association between EBPM and 12-month clinical improvement in FES suggests that EBPM may be a potential neurocognitive marker for the effectiveness of standard pharmacotherapy. Furthermore, the findings also imply that PM may not be strictly a trait-related endophenotype as indicated in previous studies

Batteries for Electric Drive Vehicles: Evaluation of Future Characteristics and Costs Through a Delphi Study

Uncertainty about future costs and operating attributes of electric drive vehicles (EVs and HEVs) has contributed to considerable debate regarding the market viability of such vehicles. One way to deal with such uncertainty, common to most emerging technologies, is to pool the judgments of experts in the field. Data from a two-stage Delphi study are used to project the future costs and operating characteristics of electric drive vehicles. The experts projected basic vehicle characteristics for EVs and HEVs for the period 2000-2020. They projected the mean EV range at 179 km in 2000, 270 km in 2010, and 358 km in 2020. The mean HEV range on battery power was projected as 145 km in 2000, 212 km in 2010, and 244 km in 2020. Experts` opinions on 10 battery technologies are analyzed and characteristics of initial battery packs for the mean power requirements are presented. A procedure to compute the cost of replacement battery packs is described, and the resulting replacement costs are presented. Projected vehicle purchase prices and fuel and maintenance costs are also presented. The vehicle purchase price and curb weight predictions would be difficult to achieve with the mean battery characteristics. With the battery replacement costs added to the fuel and maintenance costs, the conventional ICE vehicle is projected to have a clear advantage over electric drive vehicles through the projection period

The Prospects for Electric and Hybrid Electric Vehicles: Second-Stage Results of a Two-Stage Delphi Study

This study was conducted to collect information for a technical and economic assessment of electric (EV) and hybrid (HEV) vehicles. The first-stage worldwide survey was completed in fall 1994, while the second-stage was completed by summer 1995. The paper reports results from the second round of the survey and major differences between the two rounds. This second-stage international survey obtained information from 93 expert respondents from the automotive technology field. Key results: EVs will penetrate the market first, followed by internal combustion engine HEVs, while gas turbine and fuel cell HEVs will come after 2020. By 2020, EVs and internal combustion engine HEVs will have a 15% share of the new vehicle market; they will also cost 18-50% more and will be slightly inferior to 1993 gasoline cars. AC induction motor is projected to be superior to DC and DC brushless motors by 2020, although the DC motor will be less expensive in 2000. DC brushless motors are projected to be the most expensive. Though generally declining, battery costs will remain high. EVs are believed to be effective in reducing urban emissions; however, their costs must be reduced drastically. Petroleum is expected to be the predominant fuel for hybrid vehicles through 2020. Mean energy equivalent fuel economy of electric drivetrain vehicles is projected to be 20-40% greater than for conventional vehicles in 2000, and to rise a few percents during the projection period. Respondents anticipate only a 16% increase in conventional vehicle fuel economy from 2000 to 2020

Development of a reduced biodiesel surrogate fuel model for multi- dimensional CFD simulations

This work reports the development of a reduced biodiesel surrogate fuel model for multi-dimensional CFD simulations. The model is derived using an integrated kinetic mechanism reduction scheme and the final chemistry comprises only 83 species. The model is first validated in zero-dimensional (0-D) chemical kinetic calculations under a wide range of auto-ignition and jet-stirred reactor (JSR) conditions. The computed ignition delays (ID) and species profiles are in well agreement with those of the detailed model. Besides, the experimental species profiles of rapeseed methyl ester (RME) oxidation in a JSR are also reasonably reproduced. Subsequently, the fidelity of the model is further assessed in two-dimensional (2-D) CFD simulations of a constant-volume combustion vessel with respect to the experimental results of soy-methyl ester (SME) combustion. Comparisons of the computations with the experimental data reveal that ID, lift-off lengths (LOL) and soot volume fractions are reasonably well replicated by the model. Successively, the applicability of the reduced model to serve as a universal surrogate model for other biodiesel feed-stocks, such as palm-methyl ester (PME) and sunflower-methyl ester (SFME), is investigated in both 0-D and 2-D simulations. The compositions of the reduced model are varied according to the saturation/unsaturation levels in each fuel. In this work, it is demonstrated that the reduced model can potentially be used to predict the reactivity of biodiesel feed-stocks with low degree of saturation (≤30%) in both kinetic and CFD spray simulations

Utilizing intake-air oxygen-enrichment technology to reduce cold- phase emissions

Oxygen-enriched combustion is a proven, serious considered technique to reduce exhaust hydrocarbons (HC) and carbon monoxide (CO) emissions from automotive gasoline engines. This paper presents the cold-phase emissions reduction results of using oxygen-enriched intake air containing about 23% and 25% oxygen (by volume) in a vehicle powered by a spark-ignition (SI) engine. Both engineout and converter-out emissions data were collected by following the standard federal test procedure (FTP). Converter-out emissions data were also obtained employing the US Environmental Protection Agency`s (EPA`s) ``Off-Cycle`` test. Test results indicate that the engine-out CO emissions during the cold phase (bag 1) were reduced by about 46 and 50%, and HC by about 33 and 43%, using nominal 23 and 25% oxygen-enriched air compared to ambient air (21% oxygen by volume), respectively. However, the corresponding oxides of nitrogen (NO{sub x}) emissions were increased by about 56 and 79%, respectively. Time-resolved emissions data indicate that both HC and CO emissions were reduced considerably during the initial 127 s of the cold-phase FTP, without any increase in NO, emissions in the first 25 s. Hydrocarbon speciation results indicate that all major toxic pollutants, including ozone-forming specific reactivity factors, such as maximum incremental reactivity (NUR) and maximum ozone incremental reactivity (MOIR), were reduced considerably with oxygen-enrichment. Based on these results, it seems that using oxygen-enriched intake air during the cold-phase FTP could potentially reduce HC and CO emissions sufficiently to meet future emissions standards. Off-cycle, converter-out, weighted-average emissions results show that both HC and CO emissions were reduced by about 60 to 75% with 23 or 25% oxygen-enrichment, but the accompanying NO{sub x}, emissions were much higher than those with the ambient air

The Effects of Oxygen-Enriched Intake Air on FFV Exhaust Emissions Using M85

This paper presents results of emission tests of a flexible fuel vehicle (FFV) powered by an SI engine, fueled by M85 (methanol), and supplied with oxygen-enriched intake air containing 21, 23, and 25 vol% O2. Engine-out total hydrocarbons (THCs) and unburned methanol were considerably reduced in the entire FTP cycle when the O2 content of the intake air was either 23 or 25%. However, CO emissions did not vary much, and NOx emissions were higher. HCHO emissions were reduced by 53% in bag 1, 84% in bag 2, and 59% in bag 3 of the FTP cycle with 25% oxygen-enriched intake air. During cold-phase FTP,reductions of 42% in THCs, 40% in unburned methanol, 60% in nonmethane hydrocarbons, and 45% in nonmethane organic gases (NMOGs) were observed with 25% enriched air; NO{sub x} emissions increased by 78%. Converter-out emissions were also reduced with enriched air but to a lesser degree. FFVs operating on M85 that use 25% enriched air during only the initial 127 s of cold-phase FTP or that use 23 or 25% enriched air during only cold-phase FTP can meet the reactivity-adjusted NMOG, CO, NO{sub x}, and HCHO emission standards of the transitional low-emission vehicle