Exchange rate economic exposure and hedging:the significance of currency options

This thesis focuses on the theoretical examination of the exchange rate economic (operating) exposure within the context of the theory of the firm, and proposes some hedging solutions using currency options. The examination of economic exposure is based on such parameters as firms' objectives, industry structure and production cost efficiency. In particular, it examines an hypothetical exporting firm with costs in domestic currency, which faces competition from foreign firms in overseas markets and has a market share expansion objective. Within this framework, the hypothesis is established that economic exposure, portrayed in a diagram connecting export prices and real exchange rates, is asymmetric (i.e. the negative effects depreciation are higher than the positive effects of a currency depreciation). In this case, export business can be seen as a real option, given by exporting firms to overseas customer. Different scenarios about the asymmetry hypothesis can be derived for different assumptions about the determinants of economic exposure. Having established the asymmetry hypothesis, the hedging against this exposure is analysed. The hypothesis is established, that a currency call option should be used in hedging against asymmetric economic exposure. Further, some advanced currency options stategies are discussed, and their use in hedging several scenarios of exposure is indicated, establishing the hypothesis that, the optimal options strategy is a function of the determinants of exposure. Some extensions on the theoretical analysis are examined. These include the hedging of multicurrency exposure using options, and the exposure of a purely domestic firm facing import competition. The empirical work addresses two issues: the empirical validity of the asymmetry hypothesis and the examination of the hedging effectiveness of currency options.

A class of perfect fluids in general relativity

This thesis is concerned with exact solutions of Einstein's field equations of general relativity, in particular, when the source of the gravitational field is a perfect fluid with a purely electric Weyl tensor. General relativity, cosmology and computer algebra are discussed briefly. A mathematical introduction to Riemannian geometry and the tetrad formalism is then given. This is followed by a review of some previous results and known solutions concerning purely electric perfect fluids. In addition, some orthonormal and null tetrad equations of the Ricci and Bianchi identities are displayed in a form suitable for investigating these space-times. Conformally flat perfect fluids are characterised by the vanishing of the Weyl tensor and form a sub-class of the purely electric fields in which all solutions are known (Stephani 1967). The number of Killing vectors in these space-times is investigated and results presented for the non-expanding space-times. The existence of stationary fields that may also admit 0, 1 or 3 spacelike Killing vectors is demonstrated. Shear-free fluids in the class under consideration are shown to be either non-expanding or irrotational (Collins 1984) using both orthonormal and null tetrads. A discrepancy between Collins (1984) and Wolf (1986) is resolved by explicitly solving the field equations to prove that the only purely electric, shear-free, geodesic but rotating perfect fluid is the Godel (1949) solution. The irrotational fluids with shear are then studied and solutions due to Szafron (1977) and Allnutt (1982) are characterised. The metric is simplified in several cases where new solutions may be found. The geodesic space-times in this class and all Bianchi type 1 perfect fluid metrics are shown to have a metric expressible in a diagonal form. The position of spherically symmetric and Bianchi type 1 space-times in relation to the general case is also illustrated.

From 'perfect mix' to 'potion magique':regulatory T cells and anti-inflammatory cytokines as adjuvant targets

The efficacy of vaccines can be greatly improved by the addition of adjuvants, which enhance and modify immune responses. Historically, adjuvants have been discovered empirically by using experimental models.

Non-rectangular perfect reconstruction pulse shaping based ICI reduction in CO-OFDM

In this paper, we propose to increase residual carrier frequency offset tolerance based on short perfect reconstruction pulse shaping for coherent optical-orthogonal frequency division multiplexing. The proposed method suppresses the residual carrier frequency offset induced penalty at the receiver, without requiring any additional overhead and exhaustive signal processing. The Q-factor improvement contributed by the proposed method is 1.6 dB and 1.8 dB for time-frequency localization maximization and out-of-band energy minimization pulse shapes, respectively. Finally, the transmission span gain under the influence of residual carrier frequency offset is ̃62% with out-of-band energy minimization pulse shape. © 2014 Optical Society of America.

Eco-car : a perfect vehicle for technical design teaching?

Design methods and tools are generally best learned and developed experientially [1]. Finding appropriate vehicles for delivering these to students is becoming increasingly challenging, especially when considering only those that will enthuse, intrigue and inspire. This paper traces the development of different eco-car design and build projects which competed in the Shell Eco-Marathon. The cars provided opportunities for experiential learning through a formal learning cycle of CDIO (Conceive, Design, Implement, Operate) or the more traditional understand, explore, create, validate, with both teams developing a functional finished prototype. Lessons learned were applied through the design of a third and fourth eco-car using experimental techniques with bio-composites, combining the knowledge of fibre reinforced composite materials and adhesives with the plywood construction techniques of the two teams. The paper discusses the importance of applying materials and techniques to a real world problem. It will also explore how eco-car and comparing traditional materials and construction techniques with high tech composite materials is an ideal teaching, learning and assessment vehicle for technical design techniques.