Entrepreneur Education Level and Its Utility Maximization

The education level of entrepreneurs plays an important role in the decision-making process of loan financing. In this paper, the research method of optimization theory is used to study the problem of the education level and maximizing utility of entrepreneurs, and the optimal analytic solution is obtained. On this basis, the influence of the change of bank loan interest rate, the marginal effect of entrepreneur’s effort, the marginal effect of entrepreneur’s investment, the elastic coefficient of entrepreneur’s effort and the elastic coefficient of entrepreneur’s investment on the optimal solution of entrepreneur’s effort and investment amount is discussed.

Study on information utility

Information has two aspects. One aspect is the objective one; another aspect is the subjective one. Shannon has discussed the objective aspect of information in information theory. But the subjective aspect of information has not been fully discussed. Someone use “Bayesian approaches” to evaluate the value of information. But in some cases it does not meet the information user＇s need. This paper is focus on the subjective aspect of objectively measurable information and gives formal definitions for information, information utility, and marginal information utility, normalized calculation of information utility. The information discussed in the paper has interdisciplinary nature. This work can be the foundation of many application areas.

Utility function based fair data scheduling algorithm for OFDM wireless network

A system model is formulated as the maximization of a total utility function to achieve fair downlink data scheduling in multiuser orthogonal frequency division multiplexing （OFDM） wireless networks. A dynamic subcarrier allocation algorithm （DSAA） is proposed, to optimize the system model. The subcarrier allocation decision is made by the proposed DSAA according to the maximum value of total utility function with respect to the queue mean waiting time. Simulation results demonstrate that compared to the conventional algorithms, the proposed algorithm has better delay performance and can provide fairness under different loads by using different utility functions.

Optimization of the Dressing Parameters in Cylindrical Grinding Based on a Generalized Utility Function

The existing studies, concerning the dressing process, focus on the major influence of the dressing conditions on the grinding response variables. However, the choice of the dressing conditions is often made, based on the experience of the qualified staff or using data from reference books. The optimal dressing parameters, which are only valid for the particular methods and dressing and grinding conditions, are also used. The paper presents a methodology for optimization of the dressing parameters in cylindrical grinding. The generalized utility function has been chosen as an optimization parameter. It is a complex indicator determining the economic, dynamic and manufacturing characteristics of the grinding process. The developed methodology is implemented for the dressing of aluminium oxide grinding wheels by using experimental diamond roller dressers with different grit sizes made of medium- and high-strength synthetic diamonds type AC32 and AC80. To solve the optimization problem, a model of the generalized utility function is created which reflects the complex impact of dressing parameters. The model is built based on the results from the conducted complex study and modeling of the grinding wheel lifetime, cutting ability, production rate and cutting forces during grinding. They are closely related to the dressing conditions （dressing speed ratio, radial in-feed of the diamond roller dresser and dress-out time）, the diamond roller dresser grit size/grinding wheel grit size ratio, the type of synthetic diamonds and the direction of dressing. Some dressing parameters are determined for which the generalized utility fimction has a maximum and which guarantee an optimum combination of the following： the lifetime and cutting ability of the abrasive wheels, the tangential cutting force magnitude and the production rate of the grinding process. The results obtained prove the possibility of control and optimization of grinding by selecting particular dressing parameters.

Optimal investment with transaction costs based on exponential utility function:a parabolic double obstacle problem

This paper concerns optimal investment problem with proportional transaction costs and finite time horizon based on exponential utility function. Using a partial differential equation approach, we reveal that the problem is equivalent to a parabolic double obstacle problem involving two free boundaries that correspond to the optimal buying and selling policies. Numerical examples are obtained by the binomial method.

Comprehensive Utility Function for Resource Allocation in Mobile Edge Computing

In mobile edge computing(MEC),one of the important challenges is how much resources of which mobile edge server(MES)should be allocated to which user equipment(UE).The existing resource allocation schemes only consider CPU as the requested resource and assume utility for MESs as either a random variable or dependent on the requested CPU only.This paper presents a novel comprehensive utility function for resource allocation in MEC.The utility function considers the heterogeneous nature of applications that a UE offloads to MES.The proposed utility function considers all important parameters,including CPU,RAM,hard disk space,required time,and distance,to calculate a more realistic utility value for MESs.Moreover,we improve upon some general algorithms,used for resource allocation in MEC and cloud computing,by considering our proposed utility function.We name the improved versions of these resource allocation schemes as comprehensive resource allocation schemes.The UE requests are modeled to represent the amount of resources requested by the UE as well as the time for which the UE has requested these resources.The utility function depends upon the UE requests and the distance between UEs and MES,and serves as a realistic means of comparison between different types of UE requests.Choosing(or selecting)an optimal MES with the optimal amount of resources to be allocated to each UE request is a challenging task.We show that MES resource allocation is sub-optimal if CPU is the only resource considered.By taking into account the other resources,i.e.,RAM,disk space,request time,and distance in the utility function,we demonstrate improvement in the resource allocation algorithms in terms of service rate,utility,and MES energy consumption.

STOCHASTIC DIFFERENTIAL UTILITY UNDER NON-LIPSCHITZ CONDITIONS

In this paper, the theory of stochastic differential utility is studied. Sufficient conditions for existence, uniqueness, continuity, monotonicity, time consistency, risk aversion and concavity are gived under non-Lipschtz assumptions.

Utility-based and fairness-aware radio resource allocation in OFDMA cellular relay networks with traffic prioritization

The combination of orthogonal frequency division multiple access(OFDMA) with relaying techniques provides plentiful opportunities for high-performance and cost-effective networks.It requires intelligent radio resource management schemes to harness these opportunities.This paper investigates the utility-based resource allocation problem in a real-time and non-real-time traffics mixed OFDMA cellular relay network to exploit the potentiality of relay.In order to apply utility theory to obtain an efficient tradeoff between throughput and fairness as well as satisfy the delay requirements of real-time traffics,a joint routing and scheduling scheme is proposed to resolve the resource allocation problem.Additionally,a low-complexity iterative algorithm is introduced to realize the scheme.The numerical results indicate that besides meeting the delay requirements of real-time traffic,the scheme can achieve the tradeoff between throughput and fairness effectively.

A Set of Axioms for the Utility Theory with Rational Probabilities

Expected utility theory of Von Neumann-Morgenstern assumes that a preference order is defined for all lotteries (c1, p; c2, 1 -p) (of with probability p, c2 with probability 1 - p) for all real p, 0≤p≤1. But when the probability p is irrational, it is hard to interpret the lottery intuitively. The utility theory of J. C. Shepherdson is introduced based on rational probabilities in this paper. And then, this paper studies the axioms proposed by J. C. Shepherdson, and puts forward a set of alternative axioms. At last, it is shown that both sets of axioms are equivalent.

An RVT-based power allocation method for dynamic LEO-MEO links

Optimizing the power resources allocation method of low earth orbit(LEO)satellites to medium earth orbit(MEO)satellite'links is a significant way to construct efficient satellite constellations for satellite communication.A game theory power allocation method based on remaining visible time(RVT)of LEO-MEO satellites is proposed.Firstly,one LEO-MEO satellite network is classified as a cluster in which the RVT of LEO satellites is modeled.Secondly,the cost function of RVT concerning the character of orbit and throughput in each LEO satellite is mainly designed,which gives greater punishment of utility value to LEO satellites with less RVT and is an essential part of the reasonable utility function applied in diverse motion scenes.Meanwhile,the existence of Nash equilibrium for the proposed utility function in game theory area is proved.Thirdly,an off-cluster scheme for LEO satellites through the proposed threshold is raised to ensure the overall utility value of the whole LEO satellites in cluster.Finally,the performance improvement of the proposed algorithm to the baseline algorithm is verified through simulations in different scenarios.

Optimal Quota-Share and Excess-of-Loss Reinsurance and Investment with Heston’s Stochastic Volatility Model

An optimal quota-share and excess-of-loss reinsurance and investment problem is studied for an insurer who is allowed to invest in a risk-free asset and a risky asset.Especially the price process of the risky asset is governed by Heston's stochastic volatility(SV)model.With the objective of maximizing the expected index utility of the terminal wealth of the insurance company,by using the classical tools of stochastic optimal control,the explicit expressions for optimal strategies and optimal value functions are derived.An interesting conclusion is found that it is better to buy one reinsurance than two under the assumption of this paper.Moreover,some numerical simulations and sensitivity analysis are provided.

Characteristic Properties of Perspective Sets for Finite Stochastic Decision

For a perspective set that is derived by finite consequences with probabilities, this paper introduces the conception of basis that is proved and the uniqueness of basis over a perspective set holds. These give the characteristic properties of perspective sets and finite consequences with probabilities. These properties are applied to the utility defined by the consequences.

Rapid design of secondary deformation-aging parameters for ultra-low Co content Cu-Ni-Co-Si-X alloy via Bayesian optimization machine learning

It is difficult to rapidly design the process parameters of copper alloys by using the traditional trial-and-error method and simultaneously improve the conflicting mechanical and electrical properties.The purpose of this work is to develop a new type of Cu-Ni-Co-Si alloy saving scarce and expensive Co element,in which the Co content is less than half of the lower limit in ASTM standard C70350 alloy,while the properties are as the same level as C70350 alloy.Here we adopted a strategy combining Bayesian optimization machine learning and experimental iteration and quickly designed the secondary deformation-aging parameters(cold rolling deformation 90%,aging temperature 450℃,and aging time 1.25 h)of the new copper alloy with only 32 experiments(27 basic sample data acquisition experiments and 5 iteration experiments),which broke through the barrier of low efficiency and high cost of trial-and-error design of deformation-aging parameters in precipitation strengthened copper alloy.The experimental hardness,tensile strength,and electrical conductivity of the new copper alloy are HV(285±4),(872±3)MPa,and(44.2±0.7)%IACS(international annealed copper standard),reaching the property level of the commercial lead frame C70350 alloy.This work provides a new idea for the rapid design of material process parameters and the simultaneous improvement of mechanical and electrical properties.

FOREIGN CURRENCY OPTION PRICING WITH PROPORTIONAL TRANSACTION COSTS

The purpose of present work is to examine the financial problem of finding the universal reservation prices of a European call option written on exchange rate when there is proportional transaction costs of trading foreign currency in the market. An approach is suggested to compute the reservation bid-ask price of foreign currency call option based on maximizing the investor＇s expected utility. Option prices are determined from the investor＇s basic portfolio selection problem, without the need to solve a more complex optimization problem involving the insertion of the option payoffs into the terminal value function. Option prices are computed numerically in a Markov chain approximation for the case of exponential utility. Numerical results show that the option price bounds are almost independent of the alternative risk aversion parameter, but the bounds of NT region becomes narrower and the range of values of the initial holding for which the fair price lies within the bid-ask spread is shifted to a lower value when the risk aversion parameter increases.

Microbial community structure and functional metabolic diversity are associated with organic carbon availability in an agricultural soil

Exploration of soil environmental characteristics governing soil microbial community structure and activity may improve our understanding of biogeochemical processes and soil quality. The impact of soil environmental characteristics especially organic carbon availability after 15-yr different organic and inorganic fertilizer inputs on soil bacterial community structure and functional metabolic diversity of soil microbial communities were evaluated in a 15-yr fertilizer experiment in Changping County, Beijing, China. The experiment was a wheat-maize rotation system which was established in 1991 including four different fertilizer treatments. These treatments included： a non-amended control（CK）, a commonly used application rate of inorganic fertilizer treatment（NPK）; a commonly used application rate of inorganic fertilizer with swine manure incorporated treatment（NPKM）, and a commonly used application rate of inorganic fertilizer with maize straw incorporated treatment（NPKS）. Denaturing gradient gel electrophoresis（DGGE） of the 16 S r RNA gene was used to determine the bacterial community structure and single carbon source utilization profiles were determined to characterize the microbial community functional metabolic diversity of different fertilizer treatments using Biolog Eco plates. The results indicated that long-term fertilized treatments significantly increased soil bacterial community structure compared to CK. The use of inorganic fertilizer with organic amendments incorporated for long term（NPKM, NPKS） significantly promoted soil bacterial structure than the application of inorganic fertilizer only（NPK）, and NPKM treatment was the most important driver for increases in the soil microbial community richness（S） and structural diversity（H）. Overall utilization of carbon sources by soil microbial communities（average well color development, AWCD） and microbial substrate utilization diversity and evenness indices（H＇ and E） indicated that long-term inorganic fertilizer with organic amendments incorporated（NPKM, NPKS） could significantly stimulate soil microbial metabolic activity and functional diversity relative to CK, while no differences of them were found between NPKS and NPK treatments. Principal component analysis（PCA） based on carbon source utilization profiles also showed significant separation of soil microbial community under long-term fertilization regimes and NPKM treatment was significantly separated from the other three treatments primarily according to the higher microbial utilization of carbohydrates, carboxylic acids, polymers, phenolic compounds, and amino acid, while higher utilization of amines/amides differed soil microbial community in NPKS treatment from those in the other three treatments. Redundancy analysis（RDA） indicated that soil organic carbon（SOC） availability, especially soil microbial biomass carbon（Cmic） and Cmic/SOC ratio are the key factors of soil environmental characteristics contributing to the increase of both soil microbial community structure and functional metabolic diversity in the long-term fertilization trial. Our results showed that long-term inorganic fertilizer and swine manure application could significantly improve soil bacterial community structure and soil microbial metabolic activity through the increases in SOC availability, which could provide insights into the sustainable management of China＇s soil resource.

Measuring the social performance of forest management

Forests produce several types of benefits to both forest landowners and society.The social benefit of private forestry is equal to private benefit plus positive externalities minus negative externalities.This study developed alternative metrics for the evaluation of the social benefit of forest management.Forest management was assessed in terms of five criteria:economic,socio-cultural,environmental and ecological performance and the resilience of the forest ecosystem.Each criterion was described with three numerical indicators.Alternative performance indices were calculated from the indicator values using methods developed for multi-criteria decision making.It was concluded that indices based on the multiplicative Cobb-Douglas utility function might be the most recommendable when forestry should produce a balanced combination of different ecosystem services.When the indices were used to compare alternative silvicultural systems in terms of their social performance,continuous cover management was ranked better than even-aged management.The performance of even-aged management improved when it aimed at increasing the share of mixed stands and broadleaf species.Maximizing net present value(NPV) with a 1 % discount rate led to better social performance than maximizing NPV with a 4% discount rate.

QoS awared power and admission controls based on non-cooperative game theory in wireless networks

In order to better accommodate heterogeneous quality of service (QoS) in wireless networks, an algorithm called QoS-aware power and admission controls (QAPAC) is proposed. The system is modeled as a non-cooperative game where the users adjust their transmit powers to maximize the utility, thus restraining the interferences. By using adaptive utility functions and tunable pricing parameters according to QoS levels, this algorithm can well meet different QoS requirements and improve system capacity compared with those that ignore the QoS differences.

Proportional rate scheduling based on QoS in mobile WiMAX networks

A new scheduling scheme based on users＇ quality of service（QoS） in mobile WiMAX networks is presented.The proposed scheme tracks each user＇s average rate and adjusts the corresponding scheduling weight adaptively to result in：（a） each user＇s average rate is proportional to the corresponding QoS level;（b） the constraints of the minimal and/or maximal rates required by QoS can be satisfied;（c） the utility function of system is maximal under the constraints（a） and（b）.Theoretical analysis based on utility function and simulation results indicates the system throughput can be improved dramatically in the proposed scheme.

THE OPTIMAL ALLOCATION ABOUT CAPITAL AND LABOR IN THE ECONOMIC GROWTH WITH AN ENDOGENOUS TECHNICAL PROGRESS MODEL

In this paper, the balanced economic growth path was considered in a new growth model with endogenous technical progress. It is not only obtained the optimal allocation about capital and labor between a goods-producing sector and a R&D Sector, but also the optimal value of saving rates. By discussing the effect of parameters, it are also got the following results: When the rate of time preference (discount factor) rising, the fractions of Capital and labor in the goods-producing sector will increase, the fractions in R&D sector and the saving rates will decrease; When the population grows rapidly, the result will be contrary.

Exploring multiple equilibria for symmetric 2×2 CES/LES pure exchange economies

This paper explores the existence of 3 equilibria for symmetric 2-individual 2-good CES/LES pure exchange economies. For certain parameterizations in the economies, we show analytically that there are no more than 3 equilibria. We generalize our analytical results of existence of 3 equilibria for a wide range of parameterizations. Then we provide examples of 3 equilibria and parameter zones of 3 equilibria for CES and CES/LES economies.