Learned Perceptual Image Enhancement

Learning a typical image enhancement pipeline involves minimization of a loss function between enhanced and reference images. While L1 and L2 losses are perhaps the most widely used functions for this purpose, they do not necessarily lead to perceptually compelling results. In this paper, we show that adding a learned no-reference image quality metric to the loss can significantly improve enhancement operators. This metric is implemented using a CNN (convolutional neural network) trained on a large-scale dataset labelled with aesthetic preferences of human raters. This loss allows us to conveniently perform back-propagation in our learning framework to simultaneously optimize for similarity to a given ground truth reference and perceptual quality. This perceptual loss is only used to train parameters of image processing operators, and does not impose any extra complexity at inference time. Our experiments demonstrate that this loss can be effective for tuning a variety of operators such as local tone mapping and dehazing

Cost pass-through in strategic oligopoly: Sectoral evidence for the EU ETS

Price adjustments, particularly the cost pass-through relationships, are at the core of the analysis on how asymmetric climate change policy initiates two channels of carbon leakage: (decreasing) market shares and profit margins. Using advanced time-series techniques, this paper explores the pass-through relationships in an oligopoly setting. Under the condition of oligopolistic competition with strategic interactions, the cost pass-through of domestic firms is restricted by strategic interactions with foreign competitors. The empirical section demonstrates that strategic pricing in the presence of the incomplete cost pass-through is by far the prevailing behaviour of German energy-intensive sectors participating in the EU Emissions Trading Scheme (ETS). The relatively low cost pass-through rates in the long-run in most sectors in our sample - in comparison to studies which do not account for strategic interactions - are consistent with earlier findings. Additional costs induced by the EU ETS are therefore likely to be absorbed through a reduction of profit margin, creating incentives to relocate business abroad. Policy implications of the results are that strategic interactions between domestic and foreign firms could be a critical factor in applying offsetting instruments to address carbon leakage domestically. Accounting for oligopolistic structures - with and without strategic interactions - should therefore be a central issue within the broader context of how market structure affects climate change policies. --cost pass-through,strategic oligopoly,emissions trading scheme