Optimal Payments to Connected Depositors in Turbulent Times: A Markov Chain Approach

<div><span class="nowrap"><svg height="12.7178pt" id="M302" style="vertical-align:-3.42947pt" version="1.1" viewbox="-0.0498162 -9.28833 26.6039 12.7178" width="26.6039pt" xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink"><g transform="matrix(.013,0,0,-0.013,0,0)"><path d="M619 670C619 686 593 712 555 712S459 686 410 634S335 504 320 430H250L219 400L222 388H312L258 73C223 -133 201 -166 187 -180C175 -191 158 -199 140 -199C123 -199 88 -188 74 -172C68 -166 63 -164 54 -171C38 -185 23 -201 23 -215C23 -236 60 -261 93 -261C122 -261 161 -247 207 -200C268 -138 300 -71 337 94C365 220 376 277 394 387L501 399L521 430H401C432 623 464 665 501 665C524 665 544 651 567 627C577 617 583 618 592 625C601 631 619 651 619 670Z" id="g113-103"></path></g><g transform="matrix(.013,0,0,-0.013,8.352,0)"><path d="M300 -147C201 -63 143 98 143 270S200 602 300 686L282 710C136 610 70 450 70 271V270C70 89 136 -72 282 -170L300 -147Z" id="g113-41"></path></g><g transform="matrix(.013,0,0,-0.013,12.85,0)"><path d="M445 282C445 390 384 448 297 448C266 448 231 437 189 418C96 376 23 279 23 151C23 65 66 -12 169 -12C233 -12 294 18 337 53C411 113 445 201 445 282ZM355 280C355 161 302 62 243 36C231 31 219 30 207 30C147 30 111 78 111 154C111 302 180 380 220 399C231 404 246 407 264 407C311 407 355 367 355 280Z" id="g113-112"></path></g><g transform="matrix(.0091,0,0,-0.0091,18.869,3.132)"><path d="M250 606C250 634 233 656 203 656C168 656 146 618 146 593C146 564 169 545 192 545C227 545 250 573 250 606ZM227 95L212 119C187 98 152 71 135 71C129 71 128 78 134 102L207 373C219 418 217 451 194 451C165 451 92 411 30 351L44 326C77 353 106 371 114 371C124 371 121 357 117 341L55 97C32 5 46 -12 70 -12C108 -12 191 51 227 95Z" id="g50-106"></path></g><g transform="matrix(.013,0,0,-0.013,21.925,0)"><path d="M275 270C275 450 212 609 64 710L45 686C145 604 203 442 203 270S147 -63 45 -147L64 -170C213 -68 275 89 275 270Z" id="g113-42"></path></g></svg>:</span> the function describing how the probability of acceptance depends on the offered sum.</div>

Complexity

fig10

Figure 10

Figure 10: Optimal Payments to Connected Depositors in Turbulent Times: A Markov Chain Approach 