Strategic Behavior in Day-Ahead and Real-Time Markets for Electricity: Offer Cost or Payment Cost Minimization?

This study compares the procurement cost-minimizing and productive efficiency performance of the auction mechanism used by independent system operators (ISOs) in wholesale electricity auction markets in the U.S. with that of a proposed alternative. The current practice allocates energy contracts as if the auction featured a discriminatory final payment method when, in fact, the markets are uniform price auctions. The proposed alternative explicitly accounts for the market clearing price during the allocation phase. We find that the proposed alternative largely outperforms the current practice on the basis of procurement costs in the context of simple auction markets featuring both day-ahead and real-time auctions and that the procurement cost advantage of the alternative is complete when we simulate the effects of increased competition. We also find that a trade-off between the objectives of procurement cost minimization and productive efficiency emerges in our simple auction markets and persists in the face of increased competition.

An Experimental Study of Complex-Offer Auctions: Payment Cost Minimization vs. Offer Cost Minimization

A Payment Cost Minimization (PCM) auction has been proposed as an alternative to the Offer Cost Minimization (OCM) auction to be used in wholesale electric power markets with the intention to lower the procurement cost of electricity. Efficiency concerns about this proposal have relied on the assumption of true production cost revelation. Using an experimental approach, I compare the two auctions, strictly controlling for the level of unilateral market power. A specific feature of these complex-offer auctions is that the sellers submit not only the quantities and the minimum prices at which they are willing to sell, but also the start-up fees that are designed to reimburse the fixed start-up costs of the generation plants. I find that both auctions result in start-up fees that are significantly higher than the start-up costs. Overall, the two auctions perform similarly in terms of procurement cost and efficiency. Surprisingly, I do not find a substantial difference between less market power and more market power designs. Both designs result in similar inefficiencies and equally higher procurement costs over the competitive prediction. The PCM auction tends to have lower price volatility than the OCM auction when the market power is minimal but this property vanishes in the designs with market power. These findings lead me to conclude that both the PCM and the OCM auctions do not belong to the class of truth revealing mechanisms and do not easily elicit competitive behavior.

A Simple Statistical Test of Violation of the Weak Axiom of Cost Minimization

A problem with a practical application of Varian.s Weak Axiom of Cost Minimization is that an observed violation may be due to random variation in the output quantities produced by firms rather than due to inefficiency on the part of the firm. In this paper, unlike in Varian (1985), the output rather than the input quantities are treated as random and an alternative statistical test of the violation of WACM is proposed. We assume that there is no technical inefficiency and provide a test of the hypothesis that an observed violation of WACM is merely due to random variations in the output levels of the firms being compared.. We suggest an intuitive approach for specifying a value of the variance of the noise term that is needed for the test. The paper includes an illustrative example utilizing a data set relating to a number of U.S. airlines.

Efficiency in Deregulated Electricity Markets: Offer Cost Minimization vs. Payment Cost Minimization Auction

This study of the wholesale electricity market compares the efficiency performance of the auction mechanism currently in place in U.S. markets with the performance of a proposed mechanism. The analysis highlights the importance of considering strategic behavior when comparing different institutional systems. We find that in concentrated markets, neither auction mechanism can guarantee an efficient allocation. The advantage of the current mechanism increases with increased price competition if market demand is perfectly inelastic. However, if market demand has some responsiveness to price, the superiority of the current auction with respect to efficiency is not that obvious. We present a case where the proposed auction outperforms the current mechanism on efficiency even if all offers reflect true production costs. We also find that a market designer might face a choice problem with a tradeoff between lower electricity cost and production efficiency. Some implications for social welfare are discussed as well.

Fourier Series by Least Square Minimization

An introduction to Fourier Series based on the minimization of the least square error between an approximate series representation and the exact function.

A comparative study on unconstrained hand biometrics

Biometrics applied to mobile devices are of great interest for security applications. Daily scenarios can benefit of a combination of both the most secure systems and most simple and extended devices. This document presents a hand biometric system oriented to mobile devices, proposing a non-intrusive, contact-less acquisition process where final users should take a picture of their hand in free-space with a mobile device without removals of rings, bracelets or watches. The main contribution of this paper is threefold: firstly, a feature extraction method is proposed, providing invariant hand measurements to previous changes; second contribution consists of providing a template creation based on hand geometric distances, requiring information from only one individual, without considering data from the rest of individuals within the database; finally, a proposal for template matching is proposed, minimizing the intra-class similarity and maximizing the inter-class likeliness. The proposed method is evaluated using three publicly available contact-less, platform-free databases. In addition, the results obtained with these databases will be compared to the results provided by two competitive pattern recognition techniques, namely Support Vector Machines (SVM) and k-Nearest Neighbour, often employed within the literature. Therefore, this approach provides an appropriate solution to adapt hand biometrics to mobile devices, with an accurate results and a non-intrusive acquisition procedure which increases the overall acceptance from the final user.

Unconstrained and Contactless Hand Geometry Biometrics

This paper presents a hand biometric system for contact-less, platform-free scenarios, proposing innovative methods in feature extraction, template creation and template matching. The evaluation of the proposed method considers both the use of three contact-less publicly available hand databases, and the comparison of the performance to two competitive pattern recognition techniques existing in literature: namely Support Vector Machines (SVM) and k-Nearest Neighbour (k-NN). Results highlight the fact that the proposed method outcomes existing approaches in literature in terms of computational cost, accuracy in human identification, number of extracted features and number of samples for template creation. The proposed method is a suitable solution for human identification in contact-less scenarios based on hand biometrics, providing a feasible solution to devices with limited hardware requirements like mobile devices

A generator of efficient abstract machine implementations and its application to emulator minimization

The implementation of abstract machines involves complex decisions regarding, e.g., data representation, opcodes, or instruction specialization levéis, all of which affect the final performance of the emulator and the size of the bytecode programs in ways that are often difficult to foresee. Besides, studying alternatives by implementing abstract machine variants is a time-consuming and error-prone task because of the level of complexity and optimization of competitive implementations, which makes them generally difficult to understand, maintain, and modify. This also makes it hard to genérate specific implementations for particular purposes. To ameliorate those problems, we propose a systematic approach to the automatic generation of implementations of abstract machines. Different parts of their definition (e.g., the instruction set or the infernal data and bytecode representation) are kept sepárate and automatically assembled in the generation process. Alternative versions of the abstract machine are therefore easier to produce, and variants of their implementation can be created mechanically, with specific characteristics for a particular application if necessary. We illustrate the practicality of the approach by reporting on an implementation of a generator of production-quality WAMs which are specialized for executing a particular fixed (set of) program(s). The experimental results show that the approach is effective in reducing emulator size.

Leveraging heterogeneity for energy minimization in data centers

Energy consumption in data centers is nowadays a critical objective because of its dramatic environmental and economic impact. Over the last years, several approaches have been proposed to tackle the energy/cost optimization problem, but most of them have failed on providing an analytical model to target both the static and dynamic optimization domains for complex heterogeneous data centers. This paper proposes and solves an optimization problem for the energy-driven configuration of a heterogeneous data center. It also advances in the proposition of a new mechanism for task allocation and distribution of workload. The combination of both approaches outperforms previous published results in the field of energy minimization in heterogeneous data centers and scopes a promising area of research.

Single optical surface imaging designs with unconstrained object to image mapping

In this work, novel imaging designs with a single optical surface (either refractive or reflective) are presented. In some of these designs, both object and image shapes are given but mapping from object to image is obtained as a result of the design. In other designs, not only the mapping is obtained in the design process, but also the shape of the object is found. In the examples considered, the image is virtual and located at infinity and is seen from known pupil, which can emulate a human eye. In the first introductory part, 2D designs have been done using three different design methods: a SMS design, a compound Cartesian oval surface, and a differential equation method for the limit case of small pupil. At the point-size pupil limit, it is proven that these three methods coincide. In the second part, previous 2D designs are extended to 3D by rotation and the astigmatism of the image has been studied. As an advanced variation, the differential equation method is used to provide the freedom to control the tangential rays and sagittal rays simultaneously. As a result, designs without astigmatism (at the small pupil limit) on a curved object surface have been obtained. Finally, this anastigmatic differential equation method has been extended to 3D for the general case, in which freeform surfaces are designed.

Design, implementation and evaluation of an unconstrained and contactless biometric system based on hand geometry and stress detection

Esta tesis propone un sistema biométrico de geometría de mano orientado a entornos sin contacto junto con un sistema de detección de estrés capaz de decir qué grado de estrés tiene una determinada persona en base a señales fisiológicas Con respecto al sistema biométrico, esta tesis contribuye con el diseño y la implementación de un sistema biométrico de geometría de mano, donde la adquisición se realiza sin ningún tipo de contacto, y el patrón del usuario se crea considerando únicamente datos del propio individuo. Además, esta tesis propone un algoritmo de segmentación multiescala para solucionar los problemas que conlleva la adquisición de manos en entornos reales. Por otro lado, respecto a la extracción de características y su posterior comparación esta tesis tiene una contribución específica, proponiendo esquemas adecuados para llevar a cabo tales tareas con un coste computacional bajo pero con una alta precisión en el reconocimiento de personas. Por último, este sistema es evaluado acorde a la norma estándar ISO/IEC 19795 considerando seis bases de datos públicas. En relación al método de detección de estrés, esta tesis propone un sistema basado en dos señales fisiológicas, concretamente la tasa cardiaca y la conductancia de la piel, así como la creación de un innovador patrón de estrés que recoge el comportamiento de ambas señales bajo las situaciones de estrés y no-estrés. Además, este sistema está basado en lógica difusa para decidir el grado de estrés de un individuo. En general, este sistema es capaz de detectar estrés de forma precisa y en tiempo real, proporcionando una solución adecuada para sistemas biométricos actuales, donde la aplicación del sistema de detección de estrés es directa para evitar situaciónes donde los individuos sean forzados a proporcionar sus datos biométricos. Finalmente, esta tesis incluye un estudio de aceptabilidad del usuario, donde se evalúa cuál es la aceptación del usuario con respecto a la técnica biométrica propuesta por un total de 250 usuarios. Además se incluye un prototipo implementado en un dispositivo móvil y su evaluación. ABSTRACT: This thesis proposes a hand biometric system oriented to unconstrained and contactless scenarios together with a stress detection method able to elucidate to what extent an individual is under stress based on physiological signals. Concerning the biometric system, this thesis contributes with the design and implementation of a hand-based biometric system, where the acquisition is carried out without contact and the template is created only requiring information from a single individual. In addition, this thesis proposes an algorithm based on multiscale aggregation in order to tackle with the problem of segmentation in real unconstrained environments. Furthermore, feature extraction and matching are also a specific contributions of this thesis, providing adequate schemes to carry out both actions with low computational cost but with certain recognition accuracy. Finally, this system is evaluated according to international standard ISO/IEC 19795 considering six public databases. In relation to the stress detection method, this thesis proposes a system based on two physiological signals, namely heart rate and galvanic skin response, with the creation of an innovative stress detection template which gathers the behaviour of both physiological signals under both stressing and non-stressing situations. Besides, this system is based on fuzzy logic to elucidate the level of stress of an individual. As an overview, this system is able to detect stress accurately and in real-time, providing an adequate solution for current biometric systems, where the application of a stress detection system is direct to avoid situations where individuals are forced to provide the biometric data. Finally, this thesis includes a user acceptability evaluation, where the acceptance of the proposed biometric technique is assessed by a total of 250 individuals. In addition, this thesis includes a mobile implementation prototype and its evaluation.

Anastigmatic imaging with unconstrained object to image mapping

Anastigmatic imaging of an object to an image surfaces without the point-to-point mapping prescription and using a single optical surface is analyzed in 2D and 3D geometries (free-form and rotational-symmetric). Several design techniques are shown.

Hydrophobic sequence minimization of the α-lactalbumin molten globule

The molten globule, a widespread protein-folding intermediate, can attain a native-like backbone topology, even in the apparent absence of rigid side-chain packing. Nonetheless, mutagenesis studies suggest that molten globules are stabilized by some degree of side-chain packing among specific hydrophobic residues. Here we investigate the importance of hydrophobic side-chain diversity in determining the overall fold of the α-lactalbumin molten globule. We have replaced all of the hydrophobic amino acids in the sequence of the helical domain with a representative amino acid, leucine. Remarkably, the minimized molecule forms a molten globule that retains many structural features characteristic of a native α-lactalbumin fold. Thus, nonspecific hydrophobic interactions may be sufficient to determine the global fold of a protein.

Top-down free-energy minimization on protein potential energy landscapes

The hierarchical properties of potential energy landscapes have been used to gain insight into thermodynamic and kinetic properties of protein ensembles. It also may be possible to use them to direct computational searches for thermodynamically stable macroscopic states, i.e., computational protein folding. To this end, we have developed a top-down search procedure in which conformation space is recursively dissected according to the intrinsic hierarchical structure of a landscape's effective-energy barriers. This procedure generates an inverted tree similar to the disconnectivity graphs generated by local minima-clustering methods, but it fundamentally differs in the manner in which the portion of the tree that is to be computationally explored is selected. A key ingredient is a branch-selection algorithm that takes advantage of statistically predictive properties of the landscape to guide searches down the tree branches that are most likely to lead to the physically relevant macroscopic states. Using the computational folding of a β-hairpin-forming peptide as an example, we show that such predictive properties indeed exist and can be used for structure prediction by free-energy global minimization.