Stock-Returns and Inflation in a Principal-Agent Economy

We study a monetary in which final goods sell on spot markets, while labor and dividends sell through contracts. Firms and workers confuse absolute and relative price changes: A positive price-level shock makes sellers think they are producing better goods than they really are. They split this apparent windfall with workers who get a higher real wage. Hence, unexpected inflation shifts real income from firms (the principals) to workers (the agents) and thereby lowers stock-returns.MONEY SUPPLY ; PRICES ; STOCKS

Determination of Boundary Scattering, Intermagnon Scattering, and the Haldane Gap in Heisenberg Chains

Low-lying magnon dispersion in a S=1 Heisenberg antiferromagnetic (AF) chain is analyzed using the non-Abelian DMRG method. The scattering length $a_{\rm b}$ of the boundary coupling and the inter-magnon scattering length $a$ are determined. The scattering length $a_{\rm b}$ is found to exhibit a characteristic diverging behavior at the crossover point. In contrast, the Haldane gap $\Delta$, the magnon velocity $v$, and $a$ remain constant at the crossover. Our method allowed estimation of the gap of the S=2 AF chain to be $\Delta = 0.0891623(9)$ using a chain length longer than the correlation length $\xi$.Comment: 6 pages, 3 figures, 1 table, accepted in Phys. Rev.

Reversible quantum measurement with arbitrary spins

We propose a physically reversible quantum measurement of an arbitrary spin-s system using a spin-j probe via an Ising interaction. In the case of a spin-1/2 system (s=1/2), we explicitly construct a reversing measurement and evaluate the degree of reversibility in terms of fidelity. The recovery of the measured state is pronounced when the probe has a high spin (j>1/2), because the fidelity changes drastically during the reversible measurement and the reversing measurement. We also show that the reversing measurement scheme for a spin-1/2 system can serve as an experimentally feasible approximate reversing measurement for a high-spin system (s>1/2). If the interaction is sufficiently weak, the reversing measurement can recover a cat state almost deterministically in spite of there being a large fidelity change.Comment: 35 pages, 11 figures, Sec. 3.2 is adde

Hermitian conjugate measurement

We propose a new class of probabilistic reversing operations on the state of a system that was disturbed by a weak measurement. It can approximately recover the original state from the disturbed state especially with an additional information gain using the Hermitian conjugate of the measurement operator. We illustrate the general scheme by considering a quantum measurement consisting of spin systems with an experimentally feasible interaction and show that the reversing operation simultaneously increases both the fidelity to the original state and the information gain with such a high probability of success that their average values increase simultaneously.Comment: 26 pages, 4 figures; a paragraph is added in the introductio

Nonunitary quantum circuit

A quantum circuit is generalized to a nonunitary one whose constituents are nonunitary gates operated by quantum measurement. It is shown that a specific type of one-qubit nonunitary gates, the controlled-NOT gate, as well as all one-qubit unitary gates constitute a universal set of gates for the nonunitary quantum circuit, without the necessity of introducing ancilla qubits. A reversing measurement scheme is used to improve the probability of successful nonunitary gate operation. A quantum NAND gate and Abrams-Lloyd's nonlinear gate are analyzed as examples. Our nonunitary circuit can be used to reduce the qubit overhead needed to ensure fault-tolerant quantum computation.Comment: 19 pages, 6 figures; added a referenc