Implementation of the Walrassian Correspondance by Market Games

In this paper we present a set ofaxioms guaranteeing that, in exchange economies with or without indivisible goods, the set of Nash, Strong and active Walrasian Equilibria aH coincide in the framework of market games

Sequencing Lifeline Repairs After an Earthquake: An Economic Approach

Recoveries after recent earthquakes in the U.S. and Japan have shown that large welfare gains can be achieved by reshaping current emergency plans as incentive-compatible contracts. We apply tools from the mechanisms design literature to show ways to integrate economic incentives into the management of natural disasters and discuss issues related to the application to seismic event recovery. The focus is on restoring lifeline services such as the water, gas, transportation, and electric power networks. We put forward decisional procedures that an uninformed planner could employ to set repair priorities and help to coordinate lifeline firms in the post-earthquake reconstruction.utilities, inter-temporal decisions, natural disasters, mechanism design, network externalities

Evaluating musical software using conceptual metaphors

An open challenge for interaction designers is to find ways of designing software to enhance the ability of novices to perform tasks that normally require specialized domain expertise. This challenge is particularly demanding in areas such as music analysis, where complex, abstract, domain-specific concepts and notations occur. One promising theoretical foundation for this work involves the identification of conceptual metaphors and image schemas, found by analyzing discourse. This kind of analysis has already been applied, with some success, both to musical concepts and, separately, to user interface design. The present work appears to be the first to combine these hitherto distinct bodies of research, with the aim of devising a general method for improving user interfaces for music. Some areas where this may require extensions to existing method are noted. This paper presents the results of an exploratory evaluation of Harmony Space, a tool for playing, analysing and learning about harmony. The evaluation uses conceptual metaphors and image schemas elicited from the dialogues of experienced musicians discussing the harmonic progressions in a piece of music. Examples of where the user interface supports the conceptual metaphors, and where support could be improved, are discussed. The potential use of audio output to support conceptual metaphors and image schemas is considered

Eliciting Domain Knowledge Using Conceptual Metaphors: A Case Study from Music Interaction

Interaction design for domains that involve complex abstractions can prove challenging. This problem is particularly acute in domains where the intricate nature of domain-specific knowledge can be difficult for even the most experienced expert to conceptualise or articulate. One promising solution to the problem of representing complex domain abstractions involves the use of conceptual metaphors. Previous applications of conceptual metaphors to abstract domains have yielded encouraging results. However, the design of appropriate methods for eliciting conceptual metaphors for the purposes of informing interaction design remains an open question. In this paper, we report on a series of studies carried out to elicit conceptual metaphors from domain experts, using music as a case study, reflecting on the benefits and drawbacks of each approach

Analysis of conceptual metaphors to improve music software: the role of prior experience in inclusive music interaction

An open challenge for interaction designers is to find ways of designing software solutions capable of enhancing the ability of users with differing levels of knowledge and capabilities to perform tasks that normally require specialised domain expertise. This challenge is particularly demanding in areas such as music analysis, where complex, abstract, domain-specific concepts and notations occur. One promising theoretical foundation for this work involves the identification of what are assumed to be conceptual metaphors and image schemas. These constructs are grounded in prior sensory-motor experiences of space, force, orientation and interactions with other bodies and are identified through analysing discourse. These theories have already been applied with some success both to musical concepts and, separately, to user interface design with the intention of creating more intuitive designs through exploiting these prior sensory-motor experiences. However, the present work appears to be the first to combine these hitherto distinct bodies of research. We hypothesise that if we can identify the conceptual metaphors and image schemas used by musical experts to structure their understanding of music, we can utilise this information to develop a general theoretical framework to aid designers in systematically improving their designs, providing a foundation for inclusive music interaction design and thus opening up software normally restricted to domain experts to a wider and more varied user population. A possible methodology for the development of such a framework is discussed along with details of a study to apply the conceptual metaphors and image schemas used by a small group of experienced musicians to an evaluation of Harmony Space

Endogenous Games and Mechanisms: Side Payments Among Players

We characterize the outcomes of games when players may make binding offers of strategy contingent side payments before the game is played. This does not always lead to efficient outcomes, despite complete information and costless contracting. The characterizations are illustrated in a series of examples, including voluntary contribution public good games, Cournot and Bertrand oligopoly, principal-agent problems, and commons games, among others.game theory, mechanism design, contracts, side payments, endogenous games, public goods

Economist Letter to NTIA on 700 MHz Spectrum Auction

As the 700 MHz auction approaches, we are writing to clear up a common misconception about the nature of spectrum auctions and the impact of various rules on auction revenues.Auctions, spectrum auctions, market design

Faddists, enthusiasts and Canadian divas: broadcasting quotas and the supply response

This paper constructs a model of the recorded music market to investigate the consequences of local content requirements in broadcasting for the "internationalization" of domestic music. It models the entry decisions of bands, the contracting decisions of record companies, the airplay decisions of radio stations and the radio listening and recording purchasing decisions of consumers. The paper shows that a local content quota leads, perversely, to the increased internationalization of domestic music. A quota that also requires increased broadcasting of "new" music yields an additional welfare loss but does nothing to a record company's incentives to sign up new bands

Computers, productivity and market structure

Since the 1970's most industrialized countries have undertaken massiveinvestment in computers and information technology (IT). Several stylizedfacts emerge from the empirical studies, see Landauer, 1993. In particular,they have found that this investment has not lead to a general increase intotal factor productivity. This is known as the "productivity paradox". Also,some apparently inconsistent findings do emerge from these studies. Inparticular, the initial introduction of new IT by a firm tends to increase itsmarket share, and finally, there is evidence that while in most industriesproductivity has failed to increase, in monopolistic and regulated industriesthere is evidence that computers and IT have increased productivity. Wepresent a simple economic model of IT innovation. We find that in the model,measured productivity gains depends on rnarket structure. In fact the"productivity paradox" is most likely to emerge in markets dominated by asmall number of firms. It cannot emerge in either monopoly or highlycompetitive markets.Computers, productivity, slowdown, strategic investment

Doubly implementing the ratio correspondence with a "natural" mechanism

In this paper we present a market-based mechanim for allocating public goods which implements the Ratio correspondence in both Nash and Strong Equilibria.