Experimenting with infinite groups, I

A group is termed parafree if it is residually nilpotent and has the same nilpotent quotients as a given free group. Since free groups are residually nilpotent, they are parafree. Nonfree parafree groups abound and they all have many properties in common with free groups. Finitely presented parafree groups have solvable word problems, but little is known about the conjugacy and isomorphism problems. The conjugacy problem plays an important part in determining whether an automorphism is inner, which we term the inner automorphism problem. We will attack these and other problems about parafree groups experimentally, in a series of papers, of which this is the first and which is concerned with the isomorphism problem. The approach that we take here is to distinguish some parafree groups by computing the number of epimorphisms onto selected finite groups. It turns out, rather unexpectedly, that an understanding of the quotients of certain groups leads to some new results about equations in free and relatively free groups. We touch on this only lightly here but will discuss this in more depth in a future paper.

Future long-horizon performance measurement conditional on past survival

This paper examines the measurement of long-horizon abnormal performance when stock selection is conditional on an extended period of past survival. Filtering on survival results in a sample driven towards more-established, frequently traded stocks and this has implications for the choice of benchmark used in performance measurement (especially in the presence of the well-documented size effect). A simulation study is conducted to document the properties of commonly employed performance measures conditional on past survival. The results suggest that the popular index benchmarks used in long-horizon event studies are severely biased and yield test statistics that are badly misspecified. In contrast, a matched-stock benchmark based on size and industry performs consistently well. Also, an eligible-stock index designed to mitigate the influence of the size effect proves effective.

Modeling of adsorption and nucleation in infinite cylindrical pores by two-dimensional density functional theory

In this paper, we present an analysis of argon adsorption in cylindrical pores having amorphous silica structure by means of a nonlocal density functional theory (NLDFT). In the modeling, we account for the radial and longitudinal density distributions, which allow us to consider the interface between the liquidlike and vaporlike fluids separated by a hemispherical meniscus in the canonical ensemble. The Helmholtz free energy of the meniscus was determined as a function of pore diameter. The canonical NLDFT simulations show the details of density rearrangement at the vaporlike and liquidlike spinodal points. The limits of stability of the smallest bridge and the smallest bubble were also determined with the canonical NLDFT. The energy of nucleation as a function of the bulk pressure and the pore diameter was determined with the grand canonical NLDFT using an additional external potential field. It was shown that the experimentally observed reversibility of argon adsorption isotherms at its boiling point up to the pore diameter of 4 nm is possible if the potential barrier of 22kT is overcome due to density fluctuations.

Is there a case for low inflation-induced productivity growth in selected Asian economies?

The authors examine the evidence on the relationship between inflation and productivity growth for nine Asian economies using causality analysis in a multivariate model with money supply as a possible effective monetary policy tool. The inflation-productivity growth relationship is found to be non-uniform, as the evidence of uni-directional, bi-directional, and no causality between the two variables is varied and significant for some countries and insignificant for others. An attempt is made to explain the inflation-productivity nexus for these countries and to discuss implications for anti-inflationary policies such as inflation targeting.

Anisotropy-based robust performance analysis of finite horizon linear discrete time varying systems

We consider a problem of robust performance analysis of linear discrete time varying systems on a bounded time interval. The system is represented in the state-space form. It is driven by a random input disturbance with imprecisely known probability distribution; this distributional uncertainty is described in terms of entropy. The worst-case performance of the system is quantified by its a-anisotropic norm. Computing the anisotropic norm is reduced to solving a set of difference Riccati and Lyapunov equations and a special form equation.

Forest logging and institutional thresholds in developing south-east Asian economies: A conceptual model

Many developing south-east Asian governments are not capturing full rent from domestic forest logging operations. Such rent losses are commonly related to institutional failures, where informal institutions tend to dominate the control of forestry activity in spite of weakly enforced regulations. Our model is an attempt to add a new dimension to thinking about deforestation. We present a simple conceptual model, based on individual decisions rather than social or forest planning, which includes the human dynamics of participation in informal activity and the relatively slower ecological dynamics of changes in forest resources. We demonstrate how incumbent informal logging operations can be persistent, and that any spending aimed at replacing the informal institutions can only be successful if it pushes institutional settings past some threshold. (C) 2006 Elsevier B.V. All rights reserved.