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The Martingale Approach To Financial Mathematics, Jordan M. Rowley

Master's Theses

In this thesis, we will develop the fundamental properties of financial mathematics, with a focus on establishing meaningful connections between martingale theory, stochastic calculus, and measure-theoretic probability. We first consider a simple binomial model in discrete time, and assume the impossibility of earning a riskless profit, known as arbitrage. Under this no-arbitrage assumption alone, we stumble upon a strange new probability measure Q, according to which every risky asset is expected to grow as though it were a bond. As it turns out, this measure Q also gives the arbitrage-free pricing formula for every asset on our market. In …

Competition And Cooperation In Polygynous & Monogamous Households: Experimental Evidence From Sierra Leone, Bethany Gerdemann

Master's Theses

Competition and cooperation in polygynous households have both been widely documented across various disciplines. There is contradictory evidence as to whether these interpersonal dynamics produce better or worse outcomes for the household. This study uses a competitiveness game and a series of dictator games to measure competition and cooperation within households and between marriage types. Results show that there are key differences between monogamy and polygyny. Monogamous women compete less with their husbands than stranger and less in comparison to polygynous women. Monogamous spouses are more likely to forgo economic opportunities than polygynous spouses and have a greater preference for …

The Impact Of Cleft Lip/Palate And Clp Surgical Intervention On The Social Integration Of Adolescents In India, Mustafa Zahid

Master's Theses

Cleft Lip/Palate, a congenital orofacial anomaly, carries an incidence rate of approximately 1 in every 1000 births. In addition to the stigma associated with the condition, the varying levels of cleft severity might result in lower life outcomes which could include lower cognitive ability, physical and psychological well-being, social and behavioral outcomes of adolescents. This paper focuses on the social integration element of life outcomes, which is composed of the social inclusion and prosocial behavior of the adolescent. Despite the affordability of restorative surgeries, patients in rural areas of Low and Middle-Income Countries (LMICs) such as India face accessibility and …

Captive Nations: Measuring Economic Growth On Native American Reservations In California, Mahsa Ashabi

Master's Theses

A history of institutional oppression and genocide has shaped Native American communities across the United States today, reflected in large disparities of socioeconomic outcomes and infrastructure. Due to a lack of comprehensive data and macroeconomic research, alternative forms of spatial data and theories regarding human settlement are needed to develop an understanding ofthis stagnation. In our efforts to better understand growth on Native American reservations, we utilize nighttime lights data to proxy for economic output in these geographic areas, measuring the settlement characteristics ofreservations themselves and against surrounding U.S. regions. Through a series of log-log regressions that focus on Zipf’s …

Mentoring Female Entrepreneurs: Revenue Analysis, Candy M. Moreno Garcia

Master's Theses

Throughout the world, significantly less women own businesses than their male counterparts. In addition, they tend to own businesses that are smaller, have less growth, are less profitable and have lower sales turnover than those of men. Supporting female entrepreneurs is crucial as they tend to spend more on the health of the household, nutrition and education. This paper uses a randomized controlled trial to determine the impact of a mentorship program between experienced female entrepreneurs and inexperienced entrepreneurs, specifically focusing on the impact to profits. I use data collected from three rounds of survey over the course of six …

Measuring Cocoa Agricultural Productivity: A Spatio-Temporal Econometric Approach, Yurlady Chaverra-Palacios

Master's Theses

A significant increase of 50.5 percent in the national production of cocoa was registered between 2011 and 2015 in Colombia. Nevertheless, 5,890 tons were imported in 2015 to supply domestic demand. Unlike other crops, the production of cocoa has made a significant contribution to the income of approximately 38,000 families of which 90 percent are small farm-producers with very little capital. Facilitating credit for investment is one of the main strategies of the national government to increase cocoa productivity. Correspondingly, the impact of the credit for investment on the cocoa agricultural productivity and if those investments have a spillover effect …

The Effect Of Disability Status On Parental Input: A Study From India, Susann Skjoldhorne

Master's Theses

Human capital has for a long time been an important factor in economic growth theory. Previous literature shows a strong connection between parental input and the level of human capital attained by a child. The investment in child health and education has a positive effect on building human capital. When resources are scarce the allocation of resources will affect the opportunities that a child is given to achieve their potential. Gender preferences, birth order, and disabilities could all be factors that explain how parents chose to allocate their resources. Previous studies show that the distribution of parental input based on …

Economic Shocks And Personality Traits Of The Ultra-Poor, Shikhar Mehra

Master's Theses

Personality characteristics and non-cognitive skills are strong determinants of decision- making and economic outcomes. Personality is commonly believed to be stable, especially after age 30, though some evidence exists that changes in occupational or social roles, or exposure to family or health shocks, can change an individual’s personality traits in the medium or long term. Evidence on short-term impacts of shocks on personality, however, is lacking, as is evidence from rural and less educated populations. In this paper, we study the short-term effects of two kinds of shocks on personality traits among young adults from ultra-poor households in Uganda. In …

Are Menstrual Cycles A Biological Determinant Of Well-Being Amongst Sierra Leonean Schoolchildren?, Ashwini Shridhar

Master's Theses

The influence of hormones and biology on behavior is a topic that is rife with controversy, especially when it comes to sexual hormones. There is even more murkiness when it comes to the topic of menstruation and knowledge about women’s menstrual cycles. Recent research on this topic have seen a link between the hormonal fluctuations during menstrual cycles and various behavioral implications on competition, cooperation, and risk behavior. This study tries to expand existing knowledge by examining whether there is a link between hormonal fluctuations during menstrual cycles and risk preferential behavior using economic experiments in the largely understudied context …

The Behavioral Determinants Of Well-Being In Sierra Leone, Madison Levine

Master's Theses

Ensuring the needs of individuals are met leads to a more prosperous economy. Healthy economic activity is dependent on a supported community of people. These people express different levels of happiness depending on where they come from and make behavioral choices every day influenced by their association with their community. Currently most subjective data have come from western educated industrialized rich and democratic (WEIRD) areas. These results are placed as generalizations across all other countries and are not giving an adequate representation of well-being for the population in non-WEIRD areas. Our study outlines an in-depth survey covering subjective well-being measurements …

Temperature And Tempers: Heats Impact On Mood And Language, John Sutton

Master's Theses

Abstract: Temperatures above 20° Celsius have shown to adversely impact human behavior, leading to increased aggression and violence. Climate change will contribute to both the magnitude and severity of this pattern as temperatures continue their rise. Contributions to this field of research have only recently begun to analyze online behavior and language as a proxy for hedonic state, or well-being. From a development perspective this study is relevant since the poor tend to live in some of the warmest regions on earth, and would thus be disproportionately impacted by increased temperatures. We use several sources of data; U.S. based …

The Long-Run Effects Of Tropical Cyclones On Infant Mortality, Isabel Miranda

Master's Theses

In the United States alone, each tropical cyclone causes an average of $14.6 billion worth of damages. In addition to the destruction of physical infrastructure, natural disasters also negatively impact human capital formation. These losses are often more difficult to observe, and therefore, are over looked when quantifying the true costs of natural disasters. One particular effect is an increase in infant mortality rates, an important indicator of a country’s general socioeconomic level. This paper utilizes a model created by Anttila-Hughes and Hsiang, that takes advantage of annual variation in tropical cyclones using annual spatial average maximum wind speeds and …

Empowering Female Entrepreneurs Through Mentorship In Medellin, Colombia: Results From The Field, Theresa Solenski

Master's Theses

Utilizing the power of local knowledge and peer networking, this study attempts to quantify the impacts of mentorship among female micro-entrepreneurs in Medellin, Colombia on empowerment. Developing countries such as Colombia have disproportionately high rates of unprofitable micro-businesses, many of which are managed by women. Internal constraints, such as disempowerment, play a central role in perpetuating poverty. We implement a 6-month mentoring intervention by pairing 18 successful entrepreneurs with 52 disadvantaged female, micro-entrepreneurs in Medellin, Colombia to measure the additional benefit of localized knowledge to micro-borrowers. Using a process of random assignment, I measure the change in female empowerment, measured …

Financial Red Flags: Empirical Mapping Of Firm Political Preferences By Sector In Mexico, Ian Connors

Master's Theses

Can the stock market be used to determine the political preferences of individual economic sectors? This paper explores the conceptual relationship between electoral outcomes and financial markets in Mexico. Specifically, it analyzes how financial markets predict the expected effects of a given political platform on the performance of firms within specific sectors. To do this, the study used event-study methodology to calculate abnormal returns on stock prices across the nine sectors listed on the Bolsa Mexicana de Valores stock exchange following the historic election of leftist candidate Andrés Manuel López Obrador (AMLO), On July 1, 2018. However, despite the uncertainty …

Are You Happy? Local Economic Development In Northern Thailand, Katherine Sorensen

Master's Theses

Thailand has had a long history of economic development. In recent years, Thailand began to focus on economic development initiatives a local level. The implementation process has been slow, but the introduction of social enterprise programs has proven a promising strategy in local economic development. Successful examples of economic development can be found in Thailand wherein this paper argues through collaboration between government agencies and local communities lies the key to success.

Qualitative techniques including a two months of fieldwork in Thailand, first hand observations, and appreciative inquiry interviews are used to analyze economic development initiatives in the communities of …