Real Options in a Dynamic Agency Model, with Applications to Financial Development, IPOs, and Business Risk

We study investment options in a dynamic agency model. Moral hazard creates an option to wait and agency conflicts affect the timing of investment. The model sheds light, theoretically and quantitatively, on the evolution of firms' dynamics, in particular the decline of the failure rate and the decrease in the age of IPOs.

The role of information in repeated games with frequent actions

We show that the ways incentives can be provided during dynamic interaction depend very crucially on the manner in which players learn information. This conclusion is established in a general stationary environment with noisy public monitoring and frequent actions. The monitoring process can be represented by a sum of a multi-dimensional Brownian component and a jump process. We show that jumps can be used to provide incentives both with transfers and value burning while continuous information can be used to provide incentives only with transfers. Also, it is asymptotically optimal to use the cumulative realization of the Brownian component linearly. Additionally, we approximate the equilibrium payoff set for fixed small discount rates as the periods become short by a series of linear programming problems. These problems highlight how the two types of information can be used to provide incentives.repeated games, dynamic incentives, frequent moves

Rationing and vibration monitoring of knife refiners

The subject of the research is rationing and monitoring of the vibration of knife refiners. GOST 26493-85, specifying the permissible values of the vibration amplitude of the mills, is outdated. This standard does not take into account new designs of knife refiners and the requirements of national and international standards. It is proposed to establish two criteria for assessing the vibration state of the refiners. The first criterion normalizes the amplitude of vibration in octave strips of frequencies, while the second criterion specifies the vibration trend on the general level. It is proposed to use the vibration velocity as the measured parameter. The necessity of separating the refiners into two groups was revealed: with a disc or cone diameter up to 1000 mm and with a diameter over 1000 mm. The boundaries of zones and vibration trends are determined: good; satisfactorily; need improvement and unacceptable. After that, a decision is made to limit the functioning of these machines (prevention and stop). The introduction of standards and vibration monitoring will accelerate the transition to repairs of machines on the technical condition. Methods of rationing and monitoring can be used in other industries, for example, in the mining and metallurgical industries. © Published under licence by IOP Publishing Ltd

Flexural fluctuations of the rotors of knife refiners

The subject of the study is the flexural fluctuations of the rotors of knife refiners. The dynamic and mathematical models of rotors of disk mills are developed. As a result of research, a method for vibration calculation of rotors is proposed and tested. Research was also conducted using the Ansys software package. The error in determining the lower frequencies of free fluctuations of the mill rotors does not exceed 9%. Failure to take into account the elastic compliance of the rotor bearings leads to an error in determining the frequencies of free flexural fluctuations by no more than 15%, and the gyroscopic moment increases the above frequencies by no more than 25%. The cantilever arrangement of the disk reduces the frequencies of free fluctuations of the mill rotor by 1.1 - 1.4 times in comparison with the inter-support arrangement. The developed calculation procedure can be used in other industries, for example, mining and metallurgy. © Published under licence by IOP Publishing Ltd