Competing in Deregulated Markets

Author(s):  
Dominique Turpin ◽  
Xiaobai Shen
Keyword(s):  
Author(s):  
Irene Spagna

This chapter analyzes the growth of OTC derivatives before the global financial crisis of 2008 and the role of credit default swaps, in particular, in the near collapse of the global economy. It begins by exploring the basic characteristics of derivatives used as risk management instruments by investors to hedge against or exploit the volatility of asset prices. The analysis further reveals that the pre-crisis period was characterized by a broad-based consensus favoring deregulated markets and globally designed private rules. While not always unanimously supported, permissive public regulatory choices were often encouraged by interest group lobbying, the market-friendly views of many domestic authorities, and concerns about regulatory uncertainty and international competitiveness.


2021 ◽  
pp. 001872672110201
Author(s):  
Aurora Trif ◽  
Valentina Paolucci ◽  
Marta Kahancova ◽  
Aristea Koukiadaki

Is it possible for trade unions to fight precarity in an adverse global context? Although existing research suggests this is possible, there is limited understanding of the interplay of resources that enable unions to address precarity in deregulated markets. This study employs a power resource approach to investigate how unions overcome their external constraints. It draws upon 130 in-depth interviews with key informants across nine Central and Eastern European countries to investigate successful and unsuccessful union actions in sectors with differing external resources. In each sector, unions that mobilise their internal resources have been able to reduce various precarity dimensions, such as low wages, lack of voice, and irregular working time. The results reveal that unions whose objectives are based on convincing win–win discourses can make strides, acting as drivers of change in precarity patterns even in unfavourable conditions. Moreover, the study introduces a multi-dimensional conceptualisation of union success, identifying union actions that result in measurable improvements in precarity dimensions for all worker types. To deepen understanding of the role unions play in fighting precarity in adverse contexts, future research could investigate union actions that improve a wider range of precarity dimensions for all workers.


2010 ◽  
Vol 37 (1) ◽  
pp. 112-124 ◽  
Author(s):  
M. Mahootchi ◽  
K. Ponnambalam ◽  
H.R. Tizhoosh

Risk minimization in stochastic systems is a challenging problem and this paper compares results of three different techniques in reservoir management. Two-stage stochastic programming (TSP) for maximizing expected benefits is a well-known method, Fletcher and Ponnambalam (FP) and Q-Learning are the two new methods in reservoir management, all of which can include risk minimization in the objective function. The water price uncertainties caused by deregulated markets are considered in addition to random inflows in optimization and simulation is used to compare the results and to develop a risk versus return trade-off curve. One of the contributions of this paper is to consider risk in the Q-Learning algorithm.


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