This study investigates the design of the royalty rate in a first-price auction across three types of investments:incremental and lumpy with or without an exogenously given intensity.A bidder’s investment cost compri...This study investigates the design of the royalty rate in a first-price auction across three types of investments:incremental and lumpy with or without an exogenously given intensity.A bidder’s investment cost comprises private information.This,together with the stochastic evolution of the price of the output generated from the auctioned project,precludes the seller from setting the exact dates of investment with the winner.However,the seller can set the royalty rate to equate the winner’s royalty payment with the winner’s information rent so that the winner acts as if to maximize the seller’s revenue.We derive two main conclusions.First,compared with the case in which investment is lumpy with an exogenously given intensity,the seller can set a lower royalty rate on incremental investment because she can collect additional royalty payments from the winner,who has the option to later expand capacity.Second,the impact of output price uncertainty on the optimal royalty rate for the three types of investments exhibits two different patterns.When investment is either incremental or lumpy with an exogenously given intensity,greater output price uncertainty reduces the royalty rate.When investment is lumpy with variable intensity,greater output uncertainty raises the royalty rate.Our results imply that auctioneers may charge differential royalty rates for different types of investments.展开更多
During the 21st Ningbo International Fashion Fair,the George Brummell Bespoke Tailors displayed its masterful techniques and elegant dressing style.Mr.Wang Biao who introduced the George Brummell British brand into Ch...During the 21st Ningbo International Fashion Fair,the George Brummell Bespoke Tailors displayed its masterful techniques and elegant dressing style.Mr.Wang Biao who introduced the George Brummell British brand into China,stated that George Brummell was once a consultant of the Royals,also a展开更多
The nature of oil and gas Nation's petroleum fiscal system affects the survival of exploration and production(E&P)companies during periods of low oil price as these companies are expected to pay royalty to the...The nature of oil and gas Nation's petroleum fiscal system affects the survival of exploration and production(E&P)companies during periods of low oil price as these companies are expected to pay royalty to the government irrespective of the price of oil.This affects the sustainability of E&P companies during periods of low oil price.There is the need to design a petroleum fiscal systems that increases the chances of survival of firms during periods of low oil price.This research therefore considered the economic analysis of a delayed royalty framework for investments in the exploration and production of hydrocarbon.The delay in royalty payment was hinged as a function of the time it takes the contractor to recoup his investment capital.Three economic models for petroleum investment in an onshore oil field were built.Royalty rate in the models was varied between 0 and 30%and oil price was also varied between$30-$120/bbl.Model 1 was the base case model with zero royalty payment.While model 2(Scenario 1)had royalty payment.Model 3(Scenario 2)had a delayed royalty payment.Risk analysis was also carried out to see how the delayed royalty framework increases the sustainability of E&P firm using@Risk software.It was observed that the delayed royalty framework increases the chances of survival of firms as the NPV for Scenario 2 was positive but without the framework,it was negative at an oil price of$30/bbl.The payout period,government and contractor's take and the internal rate of return also show that the delayed royalty framework will increase the chances of a firm's survival during periods of low oil price.It is seen that the delayed royalty framework is another way to make a petroleum fiscal system progressive aside the already known factors used globally.展开更多
The licensing strategies and innovation incentives of downstream firms in a Stackelberg duopoly model were analyzed under three respective assumptions that upstream industry is monopoly, duopoly, or perfect competitio...The licensing strategies and innovation incentives of downstream firms in a Stackelberg duopoly model were analyzed under three respective assumptions that upstream industry is monopoly, duopoly, or perfect competition. It is found that the Stackelberg firm may license his drastic innovation by a fixed royalty rate which is lower than innovalion size. The incentives of drastic innovation of Stackelberg firm facing input suppfiers with market power decrease considerably even onder royalty licensing, compared with facing perfectly competitive input market.展开更多
Economy is of importance for everyone but the growing environmental destruction and disparity between the rich and poor demands adoption of cleaner and better path so as to secure the future resources and achieve sust...Economy is of importance for everyone but the growing environmental destruction and disparity between the rich and poor demands adoption of cleaner and better path so as to secure the future resources and achieve sustainable development with better social inclusion. On this regard, the term “green economy” came into light. The Asian Center for Environment Management and Sustainable Development (AEMS) then explored the “green economy” concept in Nepal through a regional workshop on May 2012 with participants from Bangladesh, Bhutan, India, Canada, UK and Nepal. Consequently, the hydropower sector of Nepal was recognized as one of the most feasible and potential sector for green economy. Therefore, various case studies of hydropower projects, interaction programs and interviews with relevant personnel were carried out for this study to analyze the scope of hydropower in achieving the three important attributes of green economy, namely—resource efficiency, low carbon and social inclusion. Nepal is rich in water resources;it is therefore possible to use our abundant water resource in an efficient manner. Likewise, the end product of hydropower is clean energy though carbon emission is involved during the construction. It shows the potential to replace considerable amount of carbon emission from biomass based energy resources. Similarly, hydropower project exhibits positive implication on the local society besides making electricity available to the whole nation. The locals also get floating shares and royalty benefits to develop the project affected area. However, the affected areas now have minimal share in royalty. Besides, this study also addresses the issues of policy implication and challenges. All the relevant issues of hydropower as studied reveal that there are required provisions at place in Nepal for hydropower sector to fit perfectly in green economy concept, if only, the prevalent issues are handled efficiently and effectively by the relevant sectors.展开更多
基金funding from Ministry of Science and Technology,Executive Yuan,R.O.C.,under Grant Agreement No.MOST 105–2410-H-002-062-MY3.
文摘This study investigates the design of the royalty rate in a first-price auction across three types of investments:incremental and lumpy with or without an exogenously given intensity.A bidder’s investment cost comprises private information.This,together with the stochastic evolution of the price of the output generated from the auctioned project,precludes the seller from setting the exact dates of investment with the winner.However,the seller can set the royalty rate to equate the winner’s royalty payment with the winner’s information rent so that the winner acts as if to maximize the seller’s revenue.We derive two main conclusions.First,compared with the case in which investment is lumpy with an exogenously given intensity,the seller can set a lower royalty rate on incremental investment because she can collect additional royalty payments from the winner,who has the option to later expand capacity.Second,the impact of output price uncertainty on the optimal royalty rate for the three types of investments exhibits two different patterns.When investment is either incremental or lumpy with an exogenously given intensity,greater output price uncertainty reduces the royalty rate.When investment is lumpy with variable intensity,greater output uncertainty raises the royalty rate.Our results imply that auctioneers may charge differential royalty rates for different types of investments.
文摘During the 21st Ningbo International Fashion Fair,the George Brummell Bespoke Tailors displayed its masterful techniques and elegant dressing style.Mr.Wang Biao who introduced the George Brummell British brand into China,stated that George Brummell was once a consultant of the Royals,also a
文摘The nature of oil and gas Nation's petroleum fiscal system affects the survival of exploration and production(E&P)companies during periods of low oil price as these companies are expected to pay royalty to the government irrespective of the price of oil.This affects the sustainability of E&P companies during periods of low oil price.There is the need to design a petroleum fiscal systems that increases the chances of survival of firms during periods of low oil price.This research therefore considered the economic analysis of a delayed royalty framework for investments in the exploration and production of hydrocarbon.The delay in royalty payment was hinged as a function of the time it takes the contractor to recoup his investment capital.Three economic models for petroleum investment in an onshore oil field were built.Royalty rate in the models was varied between 0 and 30%and oil price was also varied between$30-$120/bbl.Model 1 was the base case model with zero royalty payment.While model 2(Scenario 1)had royalty payment.Model 3(Scenario 2)had a delayed royalty payment.Risk analysis was also carried out to see how the delayed royalty framework increases the sustainability of E&P firm using@Risk software.It was observed that the delayed royalty framework increases the chances of survival of firms as the NPV for Scenario 2 was positive but without the framework,it was negative at an oil price of$30/bbl.The payout period,government and contractor's take and the internal rate of return also show that the delayed royalty framework will increase the chances of a firm's survival during periods of low oil price.It is seen that the delayed royalty framework is another way to make a petroleum fiscal system progressive aside the already known factors used globally.
文摘The licensing strategies and innovation incentives of downstream firms in a Stackelberg duopoly model were analyzed under three respective assumptions that upstream industry is monopoly, duopoly, or perfect competition. It is found that the Stackelberg firm may license his drastic innovation by a fixed royalty rate which is lower than innovalion size. The incentives of drastic innovation of Stackelberg firm facing input suppfiers with market power decrease considerably even onder royalty licensing, compared with facing perfectly competitive input market.
文摘Economy is of importance for everyone but the growing environmental destruction and disparity between the rich and poor demands adoption of cleaner and better path so as to secure the future resources and achieve sustainable development with better social inclusion. On this regard, the term “green economy” came into light. The Asian Center for Environment Management and Sustainable Development (AEMS) then explored the “green economy” concept in Nepal through a regional workshop on May 2012 with participants from Bangladesh, Bhutan, India, Canada, UK and Nepal. Consequently, the hydropower sector of Nepal was recognized as one of the most feasible and potential sector for green economy. Therefore, various case studies of hydropower projects, interaction programs and interviews with relevant personnel were carried out for this study to analyze the scope of hydropower in achieving the three important attributes of green economy, namely—resource efficiency, low carbon and social inclusion. Nepal is rich in water resources;it is therefore possible to use our abundant water resource in an efficient manner. Likewise, the end product of hydropower is clean energy though carbon emission is involved during the construction. It shows the potential to replace considerable amount of carbon emission from biomass based energy resources. Similarly, hydropower project exhibits positive implication on the local society besides making electricity available to the whole nation. The locals also get floating shares and royalty benefits to develop the project affected area. However, the affected areas now have minimal share in royalty. Besides, this study also addresses the issues of policy implication and challenges. All the relevant issues of hydropower as studied reveal that there are required provisions at place in Nepal for hydropower sector to fit perfectly in green economy concept, if only, the prevalent issues are handled efficiently and effectively by the relevant sectors.
