Price Adjustments and Asymmetry in the Philippine Retail Gasoline Market

This paper employs ordered probit, partial adjustment, and vector error correction models to characterize price adjustments in the Philippine retail gasoline market since its deregulation. It finds that pricing decisions of oil firms depend significantly on eight weeks of previous changes in crude cost. It shows that the speed of adjustment of retail prices to its long-run equilibrium relation with crude cost has been following an accelerating trend but is vulnerable to intervening factors. Lastly, it provides empirical evidence that pump prices respond quicker and more fully to increases in crude cost rather than to decreases.gasoline, price asymmetry, price adjustment, Philippines

The Philippine Central Bank's Monetary Policy Reaction Function from 1992 to 2003

This paper attempts to provide an empirical determination of the Philippine central bank's (BSP) recent monetary policy stance, before and after its adoption of the inflation targeting framework, as revealed by its interest rate setting behavior. Employing Clarida, Gali, and Gertler's (1998, 2000) forward-looking model, it finds that the BSP has indeed been stabilizing inflation by and large through its key policy rate, though it appears to be accommodative with respect to the output gap. In addition, currency stability and expansionary money supply (M1) growth are other concerns of the BSP, though significantly so only in earlier periods.monetary policy, inflation, interest rates, inflation targeting, macroeconomics, central bank, taylor rule, stabilization, Philippines, BSP, forward-looking

Neon, sulphur and argon abundances of planetary nebulae in the sub-solar metallicity Galactic anti-centre

Context: Spectra of planetary nebulae show numerous fine structure emission lines from ionic species, enabling us to study the overall abundances of the nebular material that is ejected into the interstellar medium. The abundances derived from planetary nebula emission show the presence of a metallicity gradient within the disk of the Milky Way up to Galactocentric distances of ∼ 10 kpc, which are consistent with findings from studies of different types of sources, including H II regions and young B-type stars. The radial dependence of these abundances further from the Galactic centre is in dispute. Aims: We aim to derive the abundances of neon, sulphur and argon from a sample of planetary nebulae towards the Galactic anti- centre, which represent the abundances of the clouds from which they were formed, as they remain unchanged throughout the course of stellar evolution. We then aim to compare these values with similarly analysed data from elsewhere in the Milky Way in order to observe whether the abundance gradient continues in the outskirts of our Galaxy. Methods: We have observed 23 planetary nebulae at Galactocentric distances of 8–21 kpc with Spitzer IRS. The abundances were calculated from infrared emission lines, for which we observed the main ionisation states of neon, sulphur, and argon, which are little affected by extinction and uncertainties in temperature measurements or fluctuations within the planetary nebula. We have complemented these observations with others from optical studies in the literature, in order to reduce or avoid the need for ionisation correction factors in abundance calculations. Results: The overall abundances of our sample of planetary nebulae in the Galactic anti-centre are lower than those in the solar neighbourhood. The abundances of neon, sulphur, and argon from these stars are consistent with a metallicity gradient from the solar neighbourhood up to Galactocentric distances of ∼ 20 kpc, albeit with varying degrees of dispersion within the data

Multiple steady states for characteristic initial value problems

The time dependent, isentropic, quasi-one-dimensional equations of gas dynamics and other model equations are considered under the constraint of characteristic boundary conditions. Analysis of the time evolution shows how different initial data may lead to different steady states and how seemingly anamolous behavior of the solution may be resolved. Numerical experimentation using time consistent explicit algorithms verifies the conclusions of the analysis. The use of implicit schemes with very large time steps leads to erroneous results

Spatial Behavior in Groups: an Agent-Based Approach

We present an agent-based model with the aim of studying how macro-level dynamics of spatial distances among interacting individuals in a closed space emerge from micro-level dyadic and local interactions. Our agents moved on a lattice (referred to as a room) using a model implemented in a computer program called P-Space in order to minimize their dissatisfaction, defined as a function of the discrepancy between the real distance and the ideal, or desired, distance between agents. Ideal distances evolved in accordance with the agent\'s personal and social space, which changed throughout the dynamics of the interactions among the agents. In the first set of simulations we studied the effects of the parameters of the function that generated ideal distances, and in a second set we explored how group macro-level behavior depended on model parameters and other variables. We learned that certain parameter values yielded consistent patterns in the agents\' personal and social spaces, which in turn led to avoidance and approaching behaviors in the agents. We also found that the spatial behavior of the group of agents as a whole was influenced by the values of the model parameters, as well as by other variables such as the number of agents. Our work demonstrates that the bottom-up approach is a useful way of explaining macro-level spatial behavior. The proposed model is also shown to be a powerful tool for simulating the spatial behavior of groups of interacting individuals.Spatial Behavior, Proxemics, Agent-Based Modeling, Minimum Dissatisfaction Model, Small Groups, Social Interaction

Hybridization between wild and cultivated potato species in the Peruvian Andes and biosafety implications for deployment of GM potatoes

The nature and extent of past and current hybridization between cultivated potato and wild relatives in nature is of interest to crop evolutionists, taxonomists, breeders and recently to molecular biologists because of the possibilities of inverse gene flow in the deployment of genetically-modified (GM) crops. This research proves that natural hybridization occurs in areas of potato diversity in the Andes, the possibilities for survival of these new hybrids, and shows a possible way forward in case of GM potatoes should prove advantageous in such areas

Why Do Firms Engage in Selective Hedging?

Surveys of corporate risk management document that selective hedging, where managers incorporate their market views into firms’ hedging programs, is widespread in the U.S. and other countries. Stulz (1996) argues that selective hedging could enhance the value of firms that possess an information advantage relative to the market and have the financial strength to withstand the additional risk from market timing. We study the practice of selective hedging in a 10-year sample of North American gold mining firms and find that selective hedging is most prevalent among firms that are least likely to meet these valuemaximizing criteria -- (a) smaller firms, i.e., firms that are least likely to have private information about future gold prices; and (b) firms that are closest to financial distress. The latter finding provides support for the alternative possibility suggested by Stulz that selective hedging may also be driven by asset substitution motives. We detect weak relationships between selective hedging and some corporate governance measures, especially board size, but find no evidence of a link between selective hedging and managerial compensation.Corporate risk management, selective hedging, speculation, financial distress, corporate governance, managerial compensation