Dynamic Pricing in the Airline Industry R. Preston McAfee and Vera te Velde California Institute of Technology Abstract: Dynamic price discrimination adjusts prices based on the option value of future sales‚ which varies with time and units available. This paper surveys the theoretical literature on dynamic price discrimination‚ and confronts the theories with new data from airline pricing behavior. Correspondence to: R. Preston McAfee‚ 100 Baxter Hall‚ California Institute of Technology‚
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ECG 528 Asset Pricing Lecture 1 Prof. Antje Berndt Fall 2013 1 / 27 Overview Today • Course overview • Introduction to Derivatives Securities Buzzwords: Derivatives; Forwards; Futures; Options; Traders; Hedge funds Readings: Chapter 1 in Hull Practice problems: 1.1-1.10 Next time • Futures‚ Hedging using futures 2 / 27 Course Overview • The syllabus‚ posted on the class website‚ describes the policies and the procedures for this course. Please read it carefully.
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Dell Computer Corporation Embry Riddle Aeronautical University October 6‚ 2012 Dell Computer Corporation The Dell Computer Corporation was founded in 1984 by Michael Dell from his dorm room at the University of Texas at the age of 19 with $1000. The original name of the company was PC’s Unlimited. The corporation was started with a simple premise as its basic foundation: so that personal computers could be built and sold directly to customers and by doing this‚ Dell could address their specific
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Atlantic World 1492-1750 In 1492 to 1750 there were some social and economic changes that occurred between Africa‚ Europe and the Americas across the Atlantic. Continuities were the desire of Europeans for raw materials like sugar and spice. Changes were the enslavement of Native Americans and Africans destroying their societies in the process. The continuities from 1492-1750 were that the Europeans had a strong demand for sugar spice and raw materials .In 1492 Christopher Columbus sailed across
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Arguably one of the most dynamic changes were those of Europe from the 1500-1800s. During this time‚ cultural‚ social and economic beliefs were remoulded or evolved to help create the foundations of societies today. Out of the three areas the most influential were the economic changes which not only took place in Western Europe but throughout other continents as well. Most recognizable of these changes was the importance of slavery in the Atlantic World. Slavery in the Trans- Atlantic world referred to
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discussing options for computer addiction treatment‚ one point regarding addiction to the computer needs to be made : Computer addiction is not an official psychiatric diagnosis. Despite a growing movement to have obsessive computer and internet use included in the Diagnostic and Statistical Manual of Mental Disorders (DSM)‚ so far this has not happened. In relative terms when disadvantages of computer addiction compared to other addictions such as alcoholism and drug addiction‚ computer addiction
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Why are Laptops Popular? At one point in history‚ almost every household had a desktop computer. As times changed‚ the need for a portable computer increased. Although these new computers were portable‚ they were bulky and heavy. They proved to be more trouble than they were worth. Over the years‚ technological advancements have allowed for new and improved designs. Due to this new and sleek design‚ the popularity of laptops has substantially increased. Today‚ laptops are used in nearly every aspect
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Running head: PRICING MODELS Pricing Models Adam F. Thornton FIN 501 – 3 TUI University Dr. William Anderson Chipotle Mexican Grill (CMG) is one of the fastest growing restaurant chains in the United States. Self proclaimed as “fast-casual‚” CMG offers a dining experience that is unique‚ organic‚ and which draws from the local economy. For the investor‚ CMG is a wise investment for the aggressive and fast growing portion of a portfolio. When determining an appropriate
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leading industrial sectors. The fruits of its extensive research and development are traded worldwide and have improved the length and quality of life of countless individuals. At the same time‚ however‚ the industry is criticized for its marketing and pricing practices—and even for its research and development priorities. Industry’s consistently high profits and large expenditures on research and development as well as on marketing that foster scrutiny and criticism. The pharmaceutical industry is unique
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one possible outlier (in red). I need to run a multiple regression with and without the possible outlier. If there is an important change in the output‚ I can consider to deleting the outlier but it is always important to think about some reasons why I need to delete the outlier. Regression MSHARE = 4.0303 - 7.5977 * PDUB + 2.6223 * PMAY + 3.4727 * PBPREG + 1.0249 * PBPALL Without the outlier MSHARE = 4.2352 - 6.9540 * PDUB + 2.0470 * PMAY + 2.8069 * PBPREG + 1.4745 * PBPALL We can see
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