The Experts below are selected from a list of 35670 Experts worldwide ranked by ideXlab platform
Peter L. Rousseau - One of the best experts on this subject based on the ideXlab platform.
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The Q-Theory of Mergers
American Economic Review, 2002Co-Authors: Boyan Jovanovic, Peter L. RousseauAbstract:The Q-theory of investment says that a firm's investment rate should rise with its Q. We argue here that this theory also explains why some firms buy other firms. We find that 1. A firm's merger and acquisition (M&A) investment responds to its Q more -- by a factor of 2.6 -- than its direct investment does, probably because M&A investment is a High Fixed Cost and a low marginal adjustment Cost activity, 2. The typical firm wastes some cash on M&As, but not on internal investment, i.e., the 'Free-Cash Flow' story works, but explains a small fraction of mergers only, and 3. The merger waves of 1900 and the 1920's, `80s, and `90s were a response to profitable reallocation opportunities, but the `60s wave was probably caused by something else.
Arne Kildegaard - One of the best experts on this subject based on the ideXlab platform.
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Green certificate markets, the risk of over-investment, and the role of long-term contracts
Energy Policy, 2008Co-Authors: Arne KildegaardAbstract:Several papers have recently analyzed the theory and implementation of renewable energy support schemes. The case for a renewable electricity standard (RES) in tandem with a tradeable green certificate (TGC) market has been largely based on efficiency considerations. Case study evidence is inconclusive, in part due to the short track record, but is not generally favorable. Here we reconsider the efficiency case, both static and dynamic, in light of special characteristics of renewable energy projects. We find that when exclusively High Fixed-Cost technologies comprise the eligible technology pool, the equilibrium form of contracting obviates the principal efficiency advantages claimed for certificate markets. When low Fixed-Cost technologies compete alongside High Fixed-Cost technologies in the certificate market, we show that it is likely that long-term contracts will disappear, and the technological choice will be inefficiently shifted away from the High Fixed-Cost technology. We consider evidence from three well-developed certificate schemes--in Britain, Sweden, and Texas--and find that it is broadly consistent with the theory here.
Haozhe Feng - One of the best experts on this subject based on the ideXlab platform.
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Win−Win Coupling in Electrodialysis with Bipolar Membranes (EDBM) for Cleaner Production
Industrial & Engineering Chemistry Research, 2009Co-Authors: Chuanhui Huang, Haozhe FengAbstract:An obstacle to the development of electrodialysis with bipolor membranes (EDBM) technology—High Fixed Cost—can be cleared away by allocating the investment among factories or plants, but it requires that EDBM couple two processes inside and provide respective products Cost-effectively. To assess the process coupling, piperazine sulfate (PzH2SO4) and sodium gluconate (NaGlu) were used as model agents for Pz regeneration and HGlu production, respectively. The results showed that the Highest current efficiency was achieved at the Highest current density, and the lowest energy consumption at the Highest feed concentration. The process Cost was estimated to be $0.80 kg−1 Pz and $0.17 kg−1 HGlu in the coupled operation, which were less than those in separate operations—$0.96 kg−1 Pz and $0.24 kg−1 HGlu. Apart from environmental benignity, the process coupling in EDBM can achieve a win−win economy due to allocation of investment and economies of scale.
Boyan Jovanovic - One of the best experts on this subject based on the ideXlab platform.
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The Q-Theory of Mergers
American Economic Review, 2002Co-Authors: Boyan Jovanovic, Peter L. RousseauAbstract:The Q-theory of investment says that a firm's investment rate should rise with its Q. We argue here that this theory also explains why some firms buy other firms. We find that 1. A firm's merger and acquisition (M&A) investment responds to its Q more -- by a factor of 2.6 -- than its direct investment does, probably because M&A investment is a High Fixed Cost and a low marginal adjustment Cost activity, 2. The typical firm wastes some cash on M&As, but not on internal investment, i.e., the 'Free-Cash Flow' story works, but explains a small fraction of mergers only, and 3. The merger waves of 1900 and the 1920's, `80s, and `90s were a response to profitable reallocation opportunities, but the `60s wave was probably caused by something else.
Shoichiro Hosomi - One of the best experts on this subject based on the ideXlab platform.
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STUDY ON DOWNSIDE RISK OF DEMAND AND Cost BEHAVIOR OF LOCAL PUBLIC ENTERPRISES
2018Co-Authors: Shohei Nagasawa, Shoichiro HosomiAbstract:Our study verifies Cost behavior of public sector organizations by empirical techniques. First is to clarify that Cost behavior of the public sector is not clear enough up to now. Second is to verify the relation between market share level and Cost behavior. Last is to clarify how business managers have carried out Cost management against the downside risk of demand. We used 39,803 financial data of local public enterprises of 4,342 businesses for 15 years from 1999 to 2013 for analysis. Some local public enterprises have a market share exceeding 90%. As a result of the analysis, sticky Costs were confirmed throughout the local public enterprises. However, the sticky Costs were confirmed regardless of the degree of monopoly. Therefore, the market share was confirmed to have no influence on Cost behavior of local public enterprises. And it became clear that sticky Costs strengthened Cost behavior of the local public enterprises since 2006. From this fact, in the situation in which the downside risk of demand rose, it was confirmed that the local public enterprise managers could not adjust capacity due to their High Fixed Cost structure.
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Study on downside risk of demand and Cost behavior of local public enterprises / Shohei Nagasawa and Shoichiro Hosomi.
2018Co-Authors: Shohei Nagasawa, Shoichiro HosomiAbstract:Our study verifies Cost behavior of public sector organizations by empirical techniques. First is to clarify that Cost behavior of the public sector is not clear enough up to now. Second is to verify the relation between market share level and Cost behavior. Last is to clarify how business managers have carried out Cost management against the downside risk of demand. We used 39,803 financial data of local public enterprises of 4,342 businesses for 15 years from 1999 to 2013 for analysis. Some local public enterprises have a market share exceeding 90%. As a result of the analysis, sticky Costs were confirmed throughout the local public enterprises. However, the sticky Costs were confirmed regardless of the degree of monopoly. Therefore, the market share was confirmed to have no influence on Cost behavior of local public enterprises. And it became clear that sticky Costs strengthened Cost behavior of the local public enterprises since 2006. From this fact, in the situation in which the downside risk of demand rose, it was confirmed that the local public enterprise managers could not adjust capacity due to their High Fixed Cost structure.