Search results for "Inefficiency"
showing 10 items of 55 documents
Herding in the cryptocurrency market: CSSD and CSAD approaches
2018
Abstract We analyse the existence of herding in the cryptocurrency market through the cross-sectional standard (absolute) deviation of returns. Our results show that extreme dispersion of returns is explained by rational asset pricing models although it is possible to observe herding during down markets, which highlights the inefficiency and risk of cryptocurrencies. We also observe that the smallest digital currencies are herding with the largest ones, thus traders base their decisions on the performance of the main cryptocurrencies. However, the herding phenomenon cannot be solely attributed to Bitcoin, since the rest of the market is not herding with the main cryptocurrency.
Energy saving in wastewater treatment plants: A plant-generic cooperative decision support system
2017
Abstract In Europe, the analysis of Waste Water Treatment Plants (WWTPs) shows a significant energy efficiency potential (up to 25%). Optimistically, plant managers assess their plant efficiency once or twice per year. Consequently, the time gap between an inefficiency and its detection produces avoidable operational costs. Although the installation of multiple on-line sensors can provide detailed energy information, for a human operator it is unrealistic to analyse the produced data in a satisfactory time-scale. This paper proposes a cooperative tool for energy saving that remotely accesses and evaluates WWTP databases to produce daily energy assessment reports. The novelty of this decisio…
A Holistic Vision of Smart Cities: An Opportunity for a Big Change
2016
The depletion of energy resources on the one hand, and the population growth on the other, forced the society at all levels (local, national and international) to turn its attention to the identification of new forms of protection of the environment and the waste reduction for a new eco-sustainable way of living. The process of massive urbanization already in place, exacerbated by the movement of large masses of people in search of a more human form of life, is putting severely under test the livability within our cities, bringing out the inefficiency of existing management and organization models. Daisaku Ikeda said: “Certainly, the density of urban populations means that problems are conc…
The cost of market power in banking: Social welfare loss vs. cost inefficiency
2007
Abstract This paper analyses the relationship between market power in the loan and deposit markets and efficiency in the EU-15 countries over 1993–2002. Results show the existence of a positive relationship between market power and cost X-efficiency, allowing rejection of the so-called quiet life hypothesis [Berger, A.N., Hannan, T.H., 1998. The efficiency cost of market power in the banking industry: A test of the ‘quiet life’ and related hypotheses. Review of Economics and Statistics 8 (3), 454–465]. The social welfare loss attributable to market power in 2002 represented 0.54% of the GDP of the EU-15. Results show that the welfare gains associated with a reduction of market power are gre…
Bases para el análisis económico de los sistemas de compliance penal
2019
Compliance programs and systems of criminal or administrative liability are being increasingly adopted by different countries as measures meant to reduce the social cost of white collar criminality. However, the legal application of these measures does not always ponder correctly the impacts on common good, the levels of economic activity and the adequate functioning of markets of goods and services. Eventually, this situation can lead to undesired effects, such as the inefficiency of the criminal system, the reduction of economic activity or the arising of obstacles to competition. By taking these circumstances into account, in this paper we will utilize the Economic Analysis of Law to ana…
Inefficiency in the French System of Higher Education
1982
International audience; This article sets out to present the French higher education system as it exists at present, pinpointing the main causes of the malfunctioning or inefficiency now unanimously attributed to it by students, employers, governments and even teachers. The trends and reforms of the last 15 years or so already bear witness to a fundamental adaptation of the system to new guiding concerns. Yet this development is slow and uneven, being kept in check by certain institutions, themselves so well-established as to be taken for granted. We shall attempt here to identify them.
The welfare cost of unpriced heterogeneity in insurance markets
2016
We consider the welfare loss of unpriced heterogeneity in insurance markets, which results when private information or regulatory constraints prevent insurance companies to set premiums reflecting expected costs. We propose a methodology which uses survey data to measure this welfare loss. After identifying some “types” which determine expected risk and insurance demand, we derive the key factors defining the demand and cost functions in each market induced by these unobservable types. These are used to quantify the efficiency costs of unpriced heterogeneity. We apply our methods to the US Long-Term Care and Medigap insurance markets, where we find that unpriced heterogeneity causes substan…
The Effect of Specialisation on Banks' Efficiency: An International Comparison
2006
Abstract This study analyses the effects of specialisation on the cost efficiency of a set of banking systems of the European Union over the period 1992–1998. Unlike in the established literature in which specialisation differences are not considered, in this paper cost inefficiencies are decomposed into two different components: the first is related to the inefficiency associated with the composition of specialisations in each banking system and the second is related to specific inefficiencies of banks within their specialisation. The results show the existence of high cost inefficiencies. However, the intra‐specialisation inefficiencies indicate that the inefficiencies of the European ban…
Is external debt sustainable? A probabilistic approach
2020
Abstract We develop a probabilistic approach to measure a country's external debt sustainability. Using data on international investment position and balance of payments from the International Monetary Fund, we estimate a vector autoregressive model for 38 countries (11 developed and 27 developing). Using the estimated parameters, we perform a Monte Carlo simulation to compute the distribution of the capacity to repay for each country. A large portion of the projected distribution to the right of current debt is a warning indicator, signalling the need for devaluation. We provide simulations for each country. One scenario is where the discount factor is lower than 1. According to the litera…
Unemployment, taxation and public expenditure in OECD economies
2008
Abstract This paper considers the financing of productive public goods and social benefits through different types of taxes in a model with unemployment. We incorporate unemployment, caused by the wage-setting behaviour of a monopolistic union, in a neoclassical growth model which integrates a quite detailed structure of taxes used to finance productive public expenditures and social transfers and parameterizes the inefficiency of government to transform taxes into public goods or transfers. The main conclusion is that the relationship between unemployment and labour taxes critically depends on the degree of government efficiency and the unions' perception on how taxes determine the welfare…