Business Commons^™

Efficient Relocation Of Spectrum Incumbents, Peter Cramton, Evan Kwerel, John Williams

Peter Cramton

Changes in technologies and in consumer demands have made prior radio spectrum allocations far from efficient. To address this problem the FCC has recently reallocated spectrum for more flexible use in bands that are partially occupied by incumbent license holders. Often, it is necessary for the new license holder to relocate incumbents to make efficient use of the spectrum. Regulations structuring the negotiation between incumbent and new entrant can promote efficiency. In particular, giving the new entrant the right to move the incumbent with compensation can reduce negotiation costs and promote efficiency when there is private information about spectrum values …

Affidavit Of Peter Cramton, Peter Cramton

Peter Cramton

Reply to comments on review of rules. For ISO New England.

The Efficiency Of The Fcc Spectrum Auctions, Peter Cramton

Peter Cramton

From July 1994 to July 1996, the Federal Communications Commission (FCC) conducted nine spectrum auctions, raising about $20 billion for the U.S. Treasury. The auctions assigned thousands of licenses to hundreds of firms. Were the auctions efficient? Did they award the licenses to the firms best able to turn the spectrum into valuable services for consumers? There is substantial evidence that the FCC's simultaneous ascending auction worked well. It raised large revenues. It revealed critical information in the process of bidding and gave bidders the flexibility to adjust strategies in response to new information. As a result, similar licenses sold …

Efficient Relocation Of Spectrum Incumbents, Peter Cramton, Evan Kwerel, John Williams

Peter Cramton

Changes in technologies and in consumer demands have made prior radio spectrum allocations far from efficient. To address this problem the FCC has recently reallocated spectrum for more flexible use in bands that are partially occupied by incumbent license holders. Often, it is necessary for the new license holder to relocate incumbents to make efficient use of the spectrum. Regulations structuring the negotiation between incumbent and new entrant can promote efficiency. In particular, giving the new entrant the right to move the incumbent with compensation can reduce negotiation costs and promote efficiency when there is private information about spectrum values …

A Political Model Of Monetary Policy With Application To The Real Fed Funds Rate, Tony Caporale, Kevin B. Grier

Economics and Finance Faculty Publications

We construct an empirical model of U.S. monetary policy assuming that the Federal Reserve is an ordinary federal bureaucracy. We use the real Federal Funds rate as our policy measure and show the existence of significant executive, legislative, and bureaucratic influence on the real rate of interest from 1961 to 1996. We find that presidential party is an adequate statistical measure of executive influence and that the voting scores of the Senate Banking Committee leadership best represent legislative influence. We argue that political changes cause systematic and predictable changes in monetary policy.

A Review Of Iso New England's Proposed Market Rules, Peter Cramton, Robert Wilson

Peter Cramton

For ISO New England.

A Review Of Iso New England's Proposed Market Rules, Peter Cramton, Robert Wilson

Peter Cramton

This report reviews the proposed rules for restructured wholesale electricity markets in New England. We review the market rules, both individually and collectively, and identify potential problems that might limit the efficiency of these markets. We examine alternatives and identify the key tradeoffs among alternative designs. We believe that the wholesale electricity market in New England can begin on December 1, 1998. However, improvements are needed for long-run success. We have identified four major recommendations:

* Switch to a multi-settlement system.

* Introduce demand-side bidding.

* Adopt location-based transmission congestion pricing, especially for the import/export interfaces.

* Fix the pricing …

A Cross-Sectional Analysis Of The Determinants Of Corporate Share Repurchases, Kenneth M. Washer

Doctoral Dissertations

The objective of this study is to determine which motives play a significant role in determining the extent of a firm's repurchasing activity. For firms repurchasing through the open market, the motives include taking advantage of perceived undervaluation, increasing financial leverage, distributing cash to shareholders, and reducing agency costs. For firms using a tender offer, the motives include taking advantage of perceived undervaluation and having the ability to significantly increase financial leverage. Also, the hypothesis that the perceived undervaluation motive is stronger for smaller firms is tested. Three censored regression models are employed, and each model's explanatory variables represent commonly …

Outdoor Recreation And Water Development: The National Recreation Lakes Study, Bruce R. Brown

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

12 pages.

Recreation Management By The Blm: A Local Perspective, Ann Morgan

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

10 pages.

One State’S Response To Outdoor Recreation Pressures, Laurie Mathews

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

5 pages.

The New Challenge Of Outdoor Recreation, Roz Mcclellan

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

5 pages.

Fish And Wildlife Funding—Past And Future [Abstract], R. Max Peterson

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

1 page.

Market Solutions To Public Recreation Finance: Creating User-Supported Parks, Donald R. Leal

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

11 pages.

Contains 1 page of references.

Market Solutions To Public Recreation Finance: The Texas State Parks Example, Donald R. Leal

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

11 pages.

Contains 1 page of references.

The User Fee Approach To Hunting And Fishing Finance: The “Teaming With Wildlife” Proposal, R. Max Peterson

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

18 pages (includes color illustrations).

Contains footnotes.

Response: Drawbacks To The Teaming With Wildlife Proposal [Outline], David Secunda

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

4 pages.

Tourism, Recreation, And The Fate Of Local Communities: A Mixed Bag, Hal K. Rothman

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

14 pages.

Contains 6 pages of references.

The Limitations Of A Market-Based Outdoor Recreation Policy: Reasons For Caution, Scott Silver

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

13 pages (includes illustrations).

Contains references.

Field Level Conflict Management In Outdoor Recreation, Arden Anderson

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

16 pages.

Contains references.

Outdoor Recreation In The United States: The Quiet Explosion, Curt Meine

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

3 pages.

Agenda: Outdoor Recreation: Promise And Peril In The New West, University Of Colorado Boulder. Natural Resources Law Center, Colorado. Bureau Of Land Management

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

Co-sponsored by the Natural Resources Law Center and the Colorado Bureau of Land Management.

The conference will explore several components of the “promise and peril” of the ongoing outdoor recreation explosion. The conference will begin on the morning of June 8 with a series of introductory presentations designed to place the outdoor recreation movement in a useful historical and socioeconomic context. This material will be followed in the afternoon session by a discussion of environmental impacts of outdoor recreation, recognizing that the diversity and magnitude of impacts is as broad as the industry itself. This discussion will be followed on …

Outdoor Recreation And Natural Lands: The Gradual Unfolding Of Policy, Richard L. Knight

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

10 pages.

Contains 2 pages of references.

The Dilemma Of County And Municipal Open Space Programs: The Case Of Jefferson County, Colorado, Ron Holliday

Outdoor Recreation: Promise and Peril in the New West (Summer Conference, June 8-10)

7 pages.

An Examination Of The Relationship Between Stock Index Cash And Futures Markets: A Cointegration Approach, Michael A. Pizzi, Andrew J. Economopoulos, Heather M. O'Neill

Business and Economics Faculty Publications

The existence of price discovery, market efficiency and market stability associated with spot and futures markets continues as a prominent discussion among academics, practitioners and regulators. Numerous papers examine the role of price discovery in the futures markets for various types of commodities and financial assets. Generally, the studies by Garbade and Silber (1983), Herbst, McCormack and West (1987), Kawaller, Koch and Koch (1987) and Schroeder and Goodwin (1991) indicate that price discovery occurs more significantly in the futures market compared to the cash market.

Ascending Auctions, Peter Cramton

Peter Cramton

A key question of auction design is whether to use an ascending-bid or a sealed-bid format. The critical distinction between formats is that an ascending auction provides the bidders with information through the process of bidding. This information is a two-edged sword. It may stimulate competition by creating a reliable process of price discovery, by reducing the winner’s curse, and by allowing efficient aggregations of items. Alternatively, the information may be used by bidders to establish and enforce collusive outcomes. Ex ante asymmetries and weak competition favor a sealed-bid design. In other cases, an ascending auction is likely to perform …

Simultaneous Ascending Auctions With Package Bidding, Peter Cramton, John Mcmillan, Paul Milgrom, Bradley Miller, Bridger Mitchell, Daniel Vincent, Robert Wilson

Peter Cramton

An effective package bidding mechanism addresses three problems: the exposure problem (the risks a bidder faces in trying to construct an efficiently large combination of licenses), the free-rider problem (the difficulties small bidders have in beating those who bid for larger packages of licenses), and the computational complexity problem (which arises from the fact that the number of possible combinations of licenses is much larger than the number of licenses). Package bidding offers the possibility of an improvement over individual-license bidding only when there are strong complementarities and the pattern of those complementarities varies across bidders. Package bidding works satisfactorily …

Auctioning Securities, Peter Cramton, Lawrence M. Ausubel

Peter Cramton

Treasury debt and other divisible securities are traditionally sold in either a pay-your-bid (discriminatory) auction or a uniform-price auction. We compare these auction formats with a Vickrey auction and also with two ascending-bid auctions. The Vickrey auction and the alternative ascending-bid auction (Ausubel 1996) have important theoretical advantages for sellers. In a setting without private information, these auctions achieve the maximal revenue as a unique equilibrium in dominant strategies. In contrast, the pay-your-bid, uniform-price, and standard ascending-bid auction admit a multiplicity of equilibria that yield low revenues for the seller. We show how these results extend to a setting where …

Assessing The Impact Of Prompt Corrective Action On Bank Capital And Risk, Kevin T. Jacques, Raj Aggarwal

Kevin T Jacques

No abstract provided.

The Use Of Replacement Workers In Union Contract Negotiations: The U.S. Experience, 1980-1989, Peter Cramton, Joseph Tracy

Peter Cramton

It is argued in many circles that a structural change occurred in U.S. collective bargaining in the 1980s. Strike incidence declined, dispute incidence increased, and the composition of disputes shifted away from strikes and toward holdouts. We investigate the extent to which the hiring of replacement workers can account for these changes. For a sample of over 300 major strikes since 1980, we estimate the likelihood of replacements being hired. We find that the risk of replacement is lower for bargaining units with more experienced workers, and declines during tight labor markets. The composition of disputes shifts away from strikes …