Efficient Pricing Research Articles

The Efficiency of Dynamic Electricity Prices

The Efficiency of Dynamic Electricity Prices

The Efficiency of Dynamic Electricity Prices

The Efficiency of Dynamic Electricity Prices

Balancing environmental concerns and efficiency in Mediterranean fisheries: Economics of production with a look at market trends

The fishing sector in the Adriatic Sea is exposed to stricter regulations due to the negative ecological impact of large-scale fisheries, while increasing socio-economic challenges threaten the profitability of the industry. We apply Stochastic frontier and Price formation analysis to the rapido fishery of Chioggia (Italy) in order to investigate potential strategies to enhance the economic performance of the fishery, considering both effort restrictions and market trends. The use of two different methodological approaches emphasizes the need for a comprehensive and flexible approach to fisheries management, taking into account seasonal fluctuations in efficiency and average prices. The results reveal that efficiency variations are significantly influenced by seasonal factors and stock availability, thus indicating a limited capacity of fishers to adapt to changing market conditions. We emphasize the importance of flexible scheduling of fishing days and discuss the opportunity for implementing mixed management systems incorporating a Total Allowable Catch or quotas.

How Group Leaders Build Stable Community Buying Groups: A Perspective Based on the Differential Mode of Association

Since 2016, community group buying has grown significantly in China, largely driven by its efficient logistics, supply chains, low prices, and convenience. This model has been further popularized during the COVID-19 pandemic due to its effectiveness in meeting daily needs while minimizing human-to-human contact. A key component of this business model are the “group leaders” - influential individuals within a community responsible for managing group buying activities, which include order collection, supplier liaison, and goods distribution. Their primary task is to form and sustain a reliable community group buying consortium, a task that demands excellent organizational and interpersonal skills. This paper examines this phenomenon using the lens of the differential mode of association, a theoretical model explaining interpersonal relationships in traditional Chinese society. The research indicates that group leaders, through regular interaction with consumers, are able to alter their social network position, increase their influence, understand consumer needs, provide satisfying services, and enhance trust, thereby transforming consumers into loyal group buying participants. This transformation not only brings stability to group buying activities but also reinforces the community influence of group leaders, thus fostering the growth of community group buying.

Incomplete financial markets, the social cost of carbon and constrained efficient carbon pricing

Incomplete financial markets, the social cost of carbon and constrained efficient carbon pricing

Informational Efficiency and Asset Prices in Large Markets

Informational Efficiency and Asset Prices in Large Markets

Time Zone Difference and Equity Market Price Efficiency Post Earnings Announcements

Time Zone Difference and Equity Market Price Efficiency Post Earnings Announcements

Institutional investor cliques and stock price efficiency: Evidence from China ☆

Institutional investor cliques and stock price efficiency: Evidence from China ☆

A Research on IPO Pricing Efficiency under the Approval System and Registration System

This article examines China’s evolving stock issuance system within its market-oriented economy, particularly focusing on the transition from the approval system to the registration system. The study evaluates the efficiency of Initial Public Offering (IPO) pricing under incomplete games, identifying high risks and uncertainties in the process. By analyzing 31 selected articles, the research categorizes IPO pricing efficiency based on the timeline of system transformation and explores three key influencing factors: macro-environmental factors, information factors, and role behavioral factors. The findings reveal minimal differences in the study of IPO pricing efficiency under different time intervals in the Chinese capital market. Moreover, the shift from the approval system to the registration system has positively impacted information disclosure, transmission speed, freedom, and individual responsibility in China’s capital market. The article concludes with a summary of the organized content and suggests future research directions, emphasizing the importance of continuous guidance and optimization for resource allocation in China’s capital market to foster healthy and stable development.

Short-term Trading and Stock Mispricing

This paper examines the influence of short-term trading on stock mispricing. Using a mispricing index proposed by Stambaugh, Yu, Yuan (2012, 2015) as a proxy for stock mispricing, This paper investigates how sensitive quarterly short-term institutional trading is to changes in the level of stock mispricing. This paper’s main finding is that trading by short-term institutions is negatively associated with the change-of-stock mispricing index, especially when stock liquidity is high. This paper supports the theoretical view of Cespa, Vives (2015), in which short-term trading can improve price informativeness when liquidity trading is persistent. Also, this research contributes to a better understanding of the interplay between short-term trading and stock mispricing, offering insights into its role in enhancing price efficiency and market dynamics.

Studi Independent Prediksi Harga Komoditi Petani Bawang Merah Menggunakan Amazon Forecast di PT. Techno International Mandira

The Certified Independent Study, under the Kampus Merdeka initiative and supported by the Ministry of Education, Culture, Research, and Technology (Kemendikbud Ristekdikti), fosters collaborative partnerships with key industry players. A prime example is PT. Techno International Mandira's contribution, which involves employing Amazon Forecast within Amazon Web Services for the predictive analysis of shallot farmers' commodity prices. This study centers on developing web-based predictive models to accurately forecast shallot market values. Utilizing Amazon Forecast's fully managed services, which integrate advanced machine learning algorithms, this project aims to provide vital insights into commodity pricing trends, thereby supporting shallot farmers in strategic decision-making. The methodology encompasses the application of Amazon Forecast for efficient and data-driven price prediction, demonstrating the practical utility of machine learning in agricultural economics.

Efisiensi Faktor Produksi Pada Usahatani Padi Sawah Peserta dan Non-Peserta SL-PTT di Kecamatan Poelang Utara Kabupaten Bombana

Research to determine the influence of production factors and their efficiency on rice farming of SL-PTT participants and non-SL-PTT participants and non-SL-PTT participants in North Poleang Bombana District. Carried out in May – July 2011. Samples were determined using simple cluster sampling based on villages, as many as 2 villages (50% of the village population). Respondents from each village consisted of 15 participants and 15 non-participants of SL-PTT in a simple random manner (60 samples). Analysis using multiple non-linear regression using the Cobb-Douglas function and price efficiency analysis. Research results: (a) Production Factors; Land area, amount of use of seeds, fertilizer, labor and pesticides are closely related and simultaneously influence the production of lowland rice farming (R; l 0.889 and R2 = 0.790). (b) partially, except for the number of seeds, all production factors have a positive effect, but only fertilizer has a real effect, even at a confidence level of 85%. (c) Efficiency analysis shows that the use of fertilizer, labor and pesticides is not efficient so they can still be added to improve, while seeds are not efficient.

Influence of a wider trading range on stock price efficiency: Evidence from ChiNext stocks in China

We investigate the influence of widening ChiNext stocks’ daily price limit on stock price efficiency in China. Compared with Main Board stocks, following the adjustment in the price limit, ChiNext stocks immediately demonstrate increased price delay and idiosyncratic volatility, with reduced price synchronicity. These results indicate a more significant rise in firm-specific information production and slower assimilation of public information for ChiNext stocks. Although price delay and synchronicity effects fade after one and two years, idiosyncratic volatility effect remains notable. Our further analysis for the immediate influence reveals that, after this event, the liquidity component of price delay decreases more while the information uncertainty component of price delay increases more for ChiNext stocks than for Main Board stocks. Consequently, our findings suggest that heightened information uncertainty outweighs increased stock liquidity, leading to higher increases in stock price delay for ChiNext stocks than for Main Board stocks after the event.

Network evolution of diffusion in enterprise digitalization and intellectualization transformation: A technology-organization-environment framework perspective.

Enterprise digitalization and intellectualization (EDI) is a crucial aspect of China's modernization process. However, uncertainty in market and business decisions hinders the EDI diffusion process in China. Therefore, this research aims to solve the uncertainty problem of EDI diffusion by examining market demand and government policy coordination. First, we utilize complex network game theory and establish a technology-organization-environment framework for the factors that influence the elements of EDI transformation by combining evidence from existing studies. Second, the network game model is constructed to analyze and optimize the updating rules in the network as a diffusion strategy that enterprises under the uncertain market can adopt. Finally, the impact of adjusting government subsidies and different premiums on the diffusion of EDI transformation strategies is examined. The degree of market diffusion and average revenue of EDI are higher after the optimization of network node strategy updating rules compared to before optimization. Further analysis reveals that only the premium effect of product pricing and inverted U-shaped subsidy support from the government affect the degree of market diffusion and the average revenue of EDI, while the other premium effects are not significant. These findings enrich research related to complex networks and nonlinear dynamic strategies. They also indicate recommendations for government policies to enhance diffusion efficiency and reasonable pricing for enterprises to promote returns.

Molecular mechanism underlying the degradation of tetracycline by Apiotrichum loubieri MFZ-16

Microbial degradation of tetracycline (TC) is promising owing to its high efficiency and low price; however, a thorough knowledge of its biotransformation is still lacking. In this study, we isolated a novel TC-degrading strain, Apiotrichum loubieri MFZ-16, from kennel soils. Response surface model analysis showed that MFZ-16 degraded TC by 97.93% at 34.54 ℃, pH 5.06%, and 12.93% inoculation. Liquid chromatography-mass spectrometry and principal component analyses revealed significant differences in metabolites between TC-salt media with and without MFZ-16. Furthermore, eight key intermediates of TC degradation were identified and their reaction processes were predicted. Transcriptome analysis revealed that MFZ-16 contained 137 functional genes involved in TC biodegradation. Three TC metabolic pathways, namely, the tyrosine, tryptophan, and D-glucose 1-phosphate metabolic pathways, were predicted, and the tyrosine and tryptophan metabolic pathways were predicted for the first time. These results suggest that A. loubieri strain MFZ-16 is an efficient and promising microbe for TC bioremediation. These findings would give a new insight into the mechanism of TC degradation.

Market Integration of Small-Scale Farms: Exploring the Bambara Groundnut Markets in Nigeria

The extent of uncertainty caused by price inefficiency and instability with reference to Bambara groundnut has made the subsector a dicey one. Markets that are not integrated may convey inaccurate price signals that might distort producers’ marketing decisions and contribute to inefficient product movement. The study analyzed the market integration of Bambara groundnut in South-east, Nigeria. The study population comprised all Bambara groundnut marketers in South-east, Nigeria. Out of the five states in South-east, Nigeria, two States will be purposively selected as the study area to establish the movement of prices between the two states to establish a fair comparison of prices between the producing zone and consumption zone. The choice of the two states was based on the predominance of Bambara groundnut marketers. A two-stage sampling technique was adopted in selecting 221 respondents that were interviewed for the study. Data for this study was poised from primary sources using a well-structured questionnaire, oral interviews and direct observations of Bambara groundnut marketers and was analyzed using descriptive and inferential statistics.- The results of the VECM showed that Enugu urban retail prices had a short-run influence of -0.057 although not signicant and a long-run significant influence of -0.2391 on Abia urban retail prices. The results of the VECM estimates for both short-run and long-run relationships indicated that the Enugu rural price of Bambara groundnut had short-run influences of -0.034023 and 0.0032032 with a long-run influence of -0.203230 on Abia rural price. The study recommended that to improve pricing effectiveness and market integration, it is necessary to encourage Bambara groundnut market price information in South-east Nigeria. The flow of information regarding Bambara groundnut prices, demand, and supply will improve both market integration and pricing effacing. The government should create regulations for information services. How to Cite: Agbo Josephine Nkechi, Okpukpara Benjamin C., Ude Kingsley David, Udemba Klinsmann Uche., 2023. "Market Integration of Small-Scale Farms: Exploring the Bambara Groundnut Markets in Nigeria." Journal of Agriculture and Crops, vol. 10, pp. 11-19.

The SEC’s Short-Sale Experiment: Evidence on Causal Channels and Reassessment of Indirect Effects

During 2005–2007, the Securities and Exchange Commission conducted a randomized trial in which it removed short-sale restrictions from one third of the Russell 3000 firms. Early studies found modest market microstructure effects of removing the restrictions but no effect on short interest, stock returns, volatility, or price efficiency. More recently, many studies have attributed a wide range of indirect outcomes to this experiment, mostly without assessing the causal channels for those outcomes. We examine the three most often cited causal channels for these indirect effects: short interest, returns, and managerial fear. We find no evidence to support these channels. We then reexamine the principal findings in four recent studies using a sample that closely matches the actual experiment and a common research design and find minimal support for the reported indirect effects. Our findings highlight the importance of confirming a causal channel or an economic mechanism and show that sample selection and specification choices can produce statistical significance even without an underlying economic mechanism. This paper was accepted by David Sraer, finance. Supplemental Material: The internet appendix and data are available at https://doi.org/10.1287/mnsc.2023.4918 .

Comparative Analysis of Various Machine Learning and Deep Learning Approaches for Car Resale Price Prediction in the Turkish Market

With escalating environmental concerns worldwide, the shift towards second-hand car markets has emerged as an eco-friendly alternative to reduce the carbon footprint associated with manufacturing new vehicles. However, the lack of accurate and efficient price prediction mechanisms may impede the growth and efficiency of these markets. This study, focusing on the Turkish second-hand car market, contributes towards addressing this gap by introducing a unique, comprehensive dataset gathered from various online markets across Turkey, thereby offering a broad spectrum of data pertaining to different vehicle types, specifications, and resale conditions. The study employs both classical machine learning methods, specifically decision trees, and deep learning models to predict used car prices. This comparative analysis aims to assess the potential of these methods in improving the predictability and transparency of resale price determination. Despite the superior performance of decision tree models, the study found that deep learning techniques achieved comparable results, indicating their potential for further optimization and enhancement. The accurate prediction of resale prices could streamline the operations of second-hand car markets, increasing their appeal to potential buyers and sellers. This could, in turn, contribute to environmental sustainability by encouraging the usage of pre-owned vehicles, which can substantially reduce the demand for new cars and thereby lower the environmental impact associated with their production.

An Econometric Analysis of Volatility Discovery

We investigate information processing in the stochastic process driving stock’s volatility (volatility discovery). We apply fractionally cointegration techniques to decompose the estimates of the market-specific integrated variances into an estimate of the common integrated variance of the efficient price and a transitory component. The market weights on the common integrated variance of the efficient price are the volatility discovery measures. We relate the volatility discovery measure to the price discovery framework and formally show their roles on the identification of the integrated variance of the efficient price. We establish the limiting distribution of the volatility discovery measures by resorting to both long span and in-fill asymptotics. The empirical application is in line with our theoretical results, as it reveals that trading venues incorporate new information into the stochastic volatility process in an individual manner and that the volatility discovery analysis identifies a distinct information process than that based on the price discovery analysis.

Disagreement about public information quality and informational price efficiency

Investors often hold differing opinions on public information quality. This paper shows that such investor disagreement provides a novel explanation for financial market dynamics around earnings announcements. We propose a rational expectations equilibrium model where investors disagree about the precision of a public signal, which separates a pre-news trading period from a post-news trading period. In equilibrium, investor disagreement about public signal precision diminishes informational price efficiency before the news, but enhances it afterward. Consequently, investor disagreement leads to a notable jump in informed trading around the news, a decline in abnormal trading volume before the news and a surge immediately after the news, and underreaction of stock price to announced earnings.