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1 – 10 of over 1000Fangju Jia, Dong-dong Wang and Lianshui Li
The COVID-19 epidemic is still spreading globally and will not be completely over in a short time. Wearing a mask is an effective means to combat the spread of COVID-19. However…
Abstract
Purpose
The COVID-19 epidemic is still spreading globally and will not be completely over in a short time. Wearing a mask is an effective means to combat the spread of COVID-19. However, whether the public wear a mask for epidemic prevention and control will be affected by stochastic factors such as vaccination, cultural differences and irrational emotions, which bring a high degree of uncertainty to the prevention and control of the epidemic. The purpose of this study is to explore and analyze the epidemic prevention and control strategies of the public in an uncertain environment.
Design/methodology/approach
Based on the stochastic evolutionary game model of the Moran process, the study discusses the epidemic prevention and control strategies of the public under the conditions of the dominance of stochastic factors, expected benefits and super-expected benefits.
Findings
The research shows that the strategic evolution of the public mainly depends on stochastic factors, cost-benefit and the number of the public. When the stochastic factors are dominant, the greater the perceived benefit, the lower the cost and the greater the penalty for not wearing masks, the public will choose to wear a mask. Under the dominance of expected benefits and super-expected benefits, when the number of the public is greater than a certain threshold, the mask-wearing strategy will become an evolutionary stable strategy. From the evolutionary process, the government’s punishment measures will slow down the speed of the public choosing the strategy of not wearing masks. The speed of the public evolving to the stable strategy under the dominance of super-expected benefits is faster than that under the dominance of expected benefits.
Practical implications
The study considers the impact of stochastic factors on public prevention and control strategies and provides decision-making support and theoretical guidance for the scientific prevention of the normalized public.
Originality/value
To the best of the authors’ knowledge, no research has considered the impact of different stochastic interference intensities on public prevention and control strategies. Therefore, this paper can be seen as a valuable resource in this field.
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Peter Wanke, Sahar Ostovan, Mohammad Reza Mozaffari, Javad Gerami and Yong Tan
This paper aims to present two-stage network models in the presence of stochastic ratio data.
Abstract
Purpose
This paper aims to present two-stage network models in the presence of stochastic ratio data.
Design/methodology/approach
Black-box, free-link and fix-link techniques are used to apply the internal relations of the two-stage network. A deterministic linear programming model is derived from a stochastic two-stage network data envelopment analysis (DEA) model by assuming that some basic stochastic elements are related to the inputs, outputs and intermediate products. The linkages between the overall process and the two subprocesses are proposed. The authors obtain the relation between the efficiency scores obtained from the stochastic two stage network DEA-ratio considering three different strategies involving black box, free-link and fix-link. The authors applied their proposed approach to 11 airlines in Iran.
Findings
In most of the scenarios, when alpha in particular takes any value between 0.1 and 0.4, three models from Charnes, Cooper, and Rhodes (1978), free-link and fix-link generate similar efficiency scores for the decision-making units (DMUs), While a relatively higher degree of variations in efficiency scores among the DMUs is generated when the alpha takes the value of 0.5. Comparing the results when the alpha takes the value of 0.1–0.4, the DMUs have the same ranking in terms of their efficiency scores.
Originality/value
The authors innovatively propose a deterministic linear programming model, and to the best of the authors’ knowledge, for the first time, the internal relationships of a two-stage network are analyzed by different techniques. The comparison of the results would be able to provide insights from both the policy perspective as well as the methodological perspective.
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Gopal Shruthi and Murugan Suvinthra
The purpose of this paper is to study large deviations for the solution processes of a stochastic equation incorporated with the effects of nonlocal condition.
Abstract
Purpose
The purpose of this paper is to study large deviations for the solution processes of a stochastic equation incorporated with the effects of nonlocal condition.
Design/methodology/approach
A weak convergence approach is adopted to establish the Laplace principle, which is same as the large deviation principle in a Polish space. The sufficient condition for any family of solutions to satisfy the Laplace principle formulated by Budhiraja and Dupuis is used in this work.
Findings
Freidlin–Wentzell type large deviation principle holds good for the solution processes of the stochastic functional integral equation with nonlocal condition.
Originality/value
The asymptotic exponential decay rate of the solution processes of the considered equation towards its deterministic counterpart can be estimated using the established results.
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Syed Alamdar Ali Shah, Bayu Arie Fianto, Batool Imtiaz, Raditya Sukmana and Rafiatul Adlin Hj Mohd Ruslan
The purpose of this paper is to perform Shariah review of Brownian motion that is used for prediction of Islamic stock prices and their volatility.
Abstract
Purpose
The purpose of this paper is to perform Shariah review of Brownian motion that is used for prediction of Islamic stock prices and their volatility.
Design/methodology/approach
It uses the Shariah compliant development model guidelines to review the Brownian motion and its applications.
Findings
The model of Brownian motion does not involve any variable that renders it non-Shariah compliant; neither all applications of Brownian motion are Shariah compliant. Because the model is based on stochastic properties that involve randomness, therefore the issue of gharar takes the utmost important to handle in the applications of the model. The results need to be analyzed strictly in accordance with the Shariah whether they create any element of gharar or uncertainty in case of expected price and volatility estimates.
Research limitations/implications
The research suffers from the limitation that it analyses only one model of physics, i.e. Brownian motion model from Shariah perspective.
Practical implications
The research opens an area for Shariah analysis of results generated from the application of advanced models of physics on matters related to Islamic financial markets.
Originality/value
The originality of this study stems from the fact that to the best of the authors’ knowledge, it is the first study that extends Shariah guidelines into Financial physics for making the foundations of Islamic econophysics.
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Nisha, Neha Puri, Namita Rajput and Harjit Singh
The purpose of this study is to analyse and compile the literature on various option pricing models (OPM) or methodologies. The report highlights the gaps in the existing…
Abstract
Purpose
The purpose of this study is to analyse and compile the literature on various option pricing models (OPM) or methodologies. The report highlights the gaps in the existing literature review and builds recommendations for potential scholars interested in the subject area.
Design/methodology/approach
In this study, the researchers used a systematic literature review procedure to collect data from Scopus. Bibliometric and structured network analyses were used to examine the bibliometric properties of 864 research documents.
Findings
As per the findings of the study, publication in the field has been increasing at a rate of 6% on average. This study also includes a list of the most influential and productive researchers, frequently used keywords and primary publications in this subject area. In particular, Thematic map and Sankey’s diagram for conceptual structure and for intellectual structure co-citation analysis and bibliographic coupling were used.
Research limitations/implications
Based on the conclusion presented in this paper, there are several potential implications for research, practice and society.
Practical implications
This study provides useful insights for future research in the area of OPM in financial derivatives. Researchers can focus on impactful authors, significant work and productive countries and identify potential collaborators. The study also highlights the commonly used OPMs and emerging themes like machine learning and deep neural network models, which can inform practitioners about new developments in the field and guide the development of new models to address existing limitations.
Social implications
The accurate pricing of financial derivatives has significant implications for society, as it can impact the stability of financial markets and the wider economy. The findings of this study, which identify the most commonly used OPMs and emerging themes, can help improve the accuracy of pricing and risk management in the financial derivatives sector, which can ultimately benefit society as a whole.
Originality/value
It is possibly the initial effort to consolidate the literature on calibration on option price by evaluating and analysing alternative OPM applied by researchers to guide future research in the right direction.
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This chapter explores other theoretical explanations to the commonly observed phenomenon of negatively skewed performance outcomes and inverse risk-return relationships in…
Abstract
This chapter explores other theoretical explanations to the commonly observed phenomenon of negatively skewed performance outcomes and inverse risk-return relationships in empirical firm data. The analysis conducted in many prior studies have implicated direct causal dependencies between performance and risk, or vice versa, with the possibility of simultaneous two-way relationships that are harder to discern. It is also shown how spurious artifacts deriving from the arithmetic links between mean and variance associate left-skewed distributions with negative mean variance correlations. However, the heterogeneous display of response capabilities among firms that compete in the same industry contexts may provide an alternative explanation for the observed performance characteristics. This is expressed as strategic responsiveness where performance outcomes with high negative skewness and excess kurtosis derive from heterogeneous adaptive processes among firms as they respond to a dynamic environment with different degrees of success. We test these results in different simulated competitive contexts disrupted by major unexpected events and find robust results across different environmental scenarios. The analysis looks at two different response processes, one modeled as conventional adaptive planning following an annual budget cycle, and another modeled as interactive updating where executives have frequent informative budget discussions with operating managers in the firm. The computational simulations show that interactive updating generates outcomes with higher returns and lower performance risk for moderate learning levels and restructuring costs. However, the resulting performance distributions are not as left-skewed as those observed in the empirical data that show higher resemblance to the adaptive planning outcomes.
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This survey explores the application of real options theory to the field of health economics. The integration of options theory offers a valuable framework to address these…
Abstract
Purpose
This survey explores the application of real options theory to the field of health economics. The integration of options theory offers a valuable framework to address these challenges, providing insights into healthcare investments, policy analysis and patient care pathways.
Design/methodology/approach
This research employs the real options theory, a financial concept, to delve into health economics challenges. Through a systematic approach, three distinct models rooted in this theory are crafted and analyzed. Firstly, the study examines the value of investing in emerging health technology, factoring in future advantages, associated costs and unpredictability. The second model is patient-centric, evaluating the choice between immediate treatment switch and waiting for more clarity, while also weighing the associated risks. Lastly, the research assesses pandemic-related government policies, emphasizing the importance of delaying decisions in the face of uncertainties, thereby promoting data-driven policymaking.
Findings
Three different real options models are presented in this study to illustrate their applicability and value in aiding decision-makers. (1) The first evaluates investments in new technology, analyzing future benefits, discount rates and benefit volatility to determine investment value. (2) In the second model, a patient has the option of switching treatments now or waiting for more information before optimally switching treatments. However, waiting has its risks, such as disease progression. By modeling the potential benefits and risks of both options, and factoring in the time value, this model aids doctors and patients in making informed decisions based on a quantified assessment of potential outcomes. (3) The third model concerns pandemic policy: governments can end or prolong lockdowns. While awaiting more data on the virus might lead to economic and societal strain, the model emphasizes the economic value of deferring decisions under uncertainty.
Practical implications
This research provides a quantified perspective on various decisions in healthcare, from investments in new technology to treatment choices for patients to government decisions regarding pandemics. By applying real options theory, stakeholders can make more evidence-driven decisions.
Social implications
Decisions about patient care pathways and pandemic policies have direct societal implications. For instance, choices regarding the prolongation or ending of lockdowns can lead to economic and societal strain.
Originality/value
The originality of this study lies in its application of real options theory, a concept from finance, to the realm of health economics, offering novel insights and analytical tools for decision-makers in the healthcare sector.
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Ali Keshavarzi and Hamid Reza Horry
The main motivation of the present study is to understand the severity of the effect of health shock on Iran's oil economy and analyze the role of government under these…
Abstract
Purpose
The main motivation of the present study is to understand the severity of the effect of health shock on Iran's oil economy and analyze the role of government under these conditions.
Design/methodology/approach
Dynamic stochastic general equilibrium (DSGE) models can show the precise interactions between market decision-makers in the context of general equilibrium. Since the duration of the virus outbreak and its effect on the economy is not known, it is more appropriate to use these models.
Findings
The results of the survey of hands-on policies scenarios compared to the state of hands-off policy indicate that the effect of government expending shocks on the economy under pandemic disease conditions has much less feedback on macroeconomic variables.
Originality/value
As a proposed policy, it is recommended that the government play a stabilizing role under pandemic disease conditions.
Key messages
There is no study regarding health shock and its economic effects in Iran using DSGE models. Also, in foreign studies, the health shock in an oil economy has not been modeled.
The general idea in the present study is how the prevalence of a pandemic infectious disease affects the dynamics of macroeconomic variables.
In three different scenarios, according to the persistence of health disaster risk and the deterioration rate of health capital due to this shock, the model is simulated.
In modeling pandemic diseases, quarantine hours are considered as part of the total time of individuals.
According to the research findings, it is recommended that the government, as a policy-maker, play a stabilizing role under pandemic crises conditions.
There is no study regarding health shock and its economic effects in Iran using DSGE models. Also, in foreign studies, the health shock in an oil economy has not been modeled.
The general idea in the present study is how the prevalence of a pandemic infectious disease affects the dynamics of macroeconomic variables.
In three different scenarios, according to the persistence of health disaster risk and the deterioration rate of health capital due to this shock, the model is simulated.
In modeling pandemic diseases, quarantine hours are considered as part of the total time of individuals.
According to the research findings, it is recommended that the government, as a policy-maker, play a stabilizing role under pandemic crises conditions.
Details
Keywords
Radha Subramanyam, Y. Adline Jancy and P. Nagabushanam
Cross-layer approach in media access control (MAC) layer will address interference and jamming problems. Hybrid distributed MAC can be used for simultaneous voice, data…
Abstract
Purpose
Cross-layer approach in media access control (MAC) layer will address interference and jamming problems. Hybrid distributed MAC can be used for simultaneous voice, data transmissions in wireless sensor network (WSN) and Internet of Things (IoT) applications. Choosing the correct objective function in Nash equilibrium for game theory will address fairness index and resource allocation to the nodes. Game theory optimization for distributed may increase the network performance. The purpose of this study is to survey the various operations that can be carried out using distributive and adaptive MAC protocol. Hill climbing distributed MAC does not need a central coordination system and location-based transmission with neighbor awareness reduces transmission power.
Design/methodology/approach
Distributed MAC in wireless networks is used to address the challenges like network lifetime, reduced energy consumption and for improving delay performance. In this paper, a survey is made on various cooperative communications in MAC protocols, optimization techniques used to improve MAC performance in various applications and mathematical approaches involved in game theory optimization for MAC protocol.
Findings
Spatial reuse of channel improved by 3%–29%, and multichannel improves throughput by 8% using distributed MAC protocol. Nash equilibrium is found to perform well, which focuses on energy utility in the network by individual players. Fuzzy logic improves channel selection by 17% and secondary users’ involvement by 8%. Cross-layer approach in MAC layer will address interference and jamming problems. Hybrid distributed MAC can be used for simultaneous voice, data transmissions in WSN and IoT applications. Cross-layer and cooperative communication give energy savings of 27% and reduces hop distance by 4.7%. Choosing the correct objective function in Nash equilibrium for game theory will address fairness index and resource allocation to the nodes.
Research limitations/implications
Other optimization techniques can be applied for WSN to analyze the performance.
Practical implications
Game theory optimization for distributed may increase the network performance. Optimal cuckoo search improves throughput by 90% and reduces delay by 91%. Stochastic approaches detect 80% attacks even in 90% malicious nodes.
Social implications
Channel allocations in centralized or static manner must be based on traffic demands whether dynamic traffic or fluctuated traffic. Usage of multimedia devices also increased which in turn increased the demand for high throughput. Cochannel interference keep on changing or mitigations occur which can be handled by proper resource allocations. Network survival is by efficient usage of valid patis in the network by avoiding transmission failures and time slots’ effective usage.
Originality/value
Literature survey is carried out to find the methods which give better performance.
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