According to phenomenal conservatism or dogmatism, perceptual experiences can give us immediate justification for beliefs about the external world in virtue of having a distinctive kind of phenomenal character—namely phenomenal force. I present three cases to show that phenomenal force is neither pervasive among nor exclusive to perceptual experiences. The plausibility of such cases calls out for explanation. I argue that contrary to a long-held assumption, phenomenal force is a separate, non-perceptual state generated by some metacognitive mechanisms that monitor one’s (...) first-order mental processes and states. This new account advances our understanding of the nature of phenomenal force. (shrink)

As an important view in the epistemology of perception, dogmatism proposes that for any experience, if it has a distinctive kind of phenomenal character, then it thereby provides us with immediate justification for beliefs about the external world. This paper rejects dogmatism by looking into the epistemology of imagining. In particular, this paper first appeals to some empirical studies on perceptual experiences and imaginings to show that it is possible for imaginings to have the distinctive phenomenal character dogmatists have in (...) mind. Then this paper argues that some of these imaginings fail to provide us with immediate justification for beliefs about the external world at least partly due to their inappropriate etiology. Such imaginings constitute counterexamples to dogmatism. (shrink)

Does phenomenal force, the distinctive phenomenology attributed to perceptual experience, really form an integral part of the latter? If not, what implications does it have for perceptual justification? In this paper, I first argue for a metacognitive account, according to which phenomenal force constitutes a separate, metacognitive state. This account opens up a previously unexplored path for challenging phenomenal conservatism or dogmatism, which has been a prominent theory of perceptual justification over the past two decades. Moreover, I investigate several alternative (...) possibilities in which phenomenal force might still be deemed as significant, but ultimately demonstrate that its epistemic role remains marginal at best. (shrink)

ABSTRACT Cognitive penetrability refers to the possibility that perceptual experiences are influenced by our beliefs, expectations, emotions, or other personal-level mental states. In this paper, I focus on the epistemological implication of cognitive penetration, and examine how, exactly, aetiologies matter to the justificatory power of perceptual experiences. I examine a prominent theory, according to which some cognitively penetrated perceptual experiences are like conclusions of bad inferences. Whereas one version of this theory is psychologically implausible, the other version has sceptical consequences. (...) In the second half of the paper, I suggest an alternative theory, drawing on recent empirical research on imagining-perception interaction and the epistemology of imagining. (shrink)

Kant scholars have paid relatively little attention to his raciology. They assume that his racism, as personal prejudice, can be disentangled from his core philosophy. They also assume that racism contradicts his moral theory. In this book, philosopher Huaping Lu-Adler challenges both assumptions. She shows how Kant's raciology--divided into racialism and racism--is integral to his philosophical system. She also rejects the individualistic approach to Kant and racism. Instead, she uses the notion of racism as ideological formation to demonstrate how Kant, (...) from his social location both as a prominent scholar and as a lifelong educator, participated in the formation of modern racist ideology. As a scholar, Kant developed a ground-breaking scientific theory of race from the standpoint of a philosophical investigator of nature or Naturforscher. As an educator, he transmitted denigrating depictions of the racialized others and imbued those descriptions with normative relevance. In both roles, he left behind, as one of his legacies, a worldview that excluded non-whites from such goods as recognitional respect and candidacy for cultural and moral achievements. Scholars who research and teach Kant's philosophy therefore have an unshakable burden to take part in the ongoing antiracist struggles, through their teaching practices as well as their scholarship. And they must do so with a pragmatic attention to nonideal social realities and a deliberate orientation toward substantial racial justice, equality, and inclusion. Lu-Adler pushes the discourse about Kant and racism well beyond the old debates about whether he was racist or whether his racism contaminates his philosophy. By foregrounding the lasting legacies of Kant's raciology, her work calls for a profound reorientation of Kant scholarship. (shrink)

Kant describes logic as “the science that exhaustively presents and strictly proves nothing but the formal rules of all thinking”. (Bviii-ix) But what is the source of our cognition of such rules (“logical cognition” for short)? He makes no concerted effort to address this question. It will nonetheless become clear that the question is a philosophically significant one for him, to which he can see three possible answers: those representations are innate, derived from experience, or originally acquired a priori. Although (...) he gives no explicit argument for the third answer, he seems committed to it—especially given his views on the source of pure concepts of the understanding and on the nature of logic. It takes careful preparatory work to gather all the essential materials for motivating and reconstructing Kant’s “original acquisition” account of logical cognition. I shall proceed in two sections. In section 1, I analyze Kant’s argument that pure concepts of the understanding (or intellectual concepts)—as one kind of pure cognition—must be acquired originally and a priori. My analysis partly concerns his varied attitudes toward Crusius’s and Leibniz’s versions of the nativist account of such concepts. I give special attention to how Kant characterizes the nativist account and his own “original acquisition” account in terms of “preformation” and “epigenesis”. My goal is, firstly, to tease out the sense in which Kant grants that there must be an innate ground (or preformation) for the derivation of pure concepts and, secondly, to introduce—and pave the way for answering—the question about the source of logical cognition. In section 2, in light of Kant’s reference to Locke and Leibniz as the greatest reformers of philosophy (including logic) in their times (Log, AA 9: 32), I examine the Lockean and Leibnizian approaches to logic, respectively. Both approaches are “physiological” by Kant’s standard and are directly opposed to his own strictly critical method. I explain how this methodological move shapes Kant’s view that representations of logical rules must be originally acquired a priori. This acquisition involves a kind of radical epigenesis of pure reason: unlike the acquisition of pure concepts, it presupposes no further innate ground (or preformation). This view will have important consequences for issues such as the ground of the normativity of logical rules and the boundaries of their rightful use. (shrink)

This paper examines Du Châtelet’s and Kant’s responses to the famous vis viva controversy – Du Châtelet in her Institutions Physiques (1742) and Kant in his debut, the Thoughts on the True Estimation of Living Forces (1746–49). The Institutions was not only a highly influential contribution to the vis viva controversy, but also a pioneering attempt to integrate Leibnizian metaphysics and Newtonian physics. The young Kant’s evident knowledge of this work has led some to speculate about his indebtedness to her (...) philosophy. My study corrects such speculations as well as misunderstandings of the Living Forces. This corrective result has implications for how to investigate Kant’s relation to the ever-evolving landscape of Leibniz exegeses. (shrink)

Psychological research has discovered that episodic memories are constructive in nature. This paper examines how, despite being constructive, episodic memories can provide us with justification for beliefs about the past. In current literature, two major approaches to memorial justification are internalist foundationalism and reliabilism. I first demonstrate that an influential version of internalist foundationalism, dogmatism, encounters problems when we compare certain types of memory construction with cognitive penetration in perception. On the other hand, various versions of reliabilism all face skeptical (...) challenges. I propose an alternative, two-factor theory that recognizes an epistemic distinction typically overlooked by dogmatism and reliabilism. Although our account leaves certain aspects unspecified, it is an important step forward. (shrink)

We tend to think that perceptual experiences tell us about what the external world is like without being influenced by our own mind. But recent psychological and philosophical research indicates that this might not be true. Our beliefs, expectations, knowledge, and other personal-level mental states might influence what we experience. This kind of psychological phenomena is now called “cognitive penetration.” The research of cognitive penetration not only has important consequences for psychology and the philosophy of mind, but also has interesting (...) epistemological implications. According to the Downgrade Thesis, some cognitively penetrated perceptual experiences give their subjects less justification for believing their penetrated contents than perceptual experiences that are unpenetrated to represent those contents would usually give. In this paper, I propose an innovative argument for the Downgrade Thesis. First, I develop a positive account of how some cognitive penetration works, according to which cognitive states influence perceptual experiences by triggering some imaginings. Second, I argue that imaginings do not give their subjects justification for believing their contents. I apply this epistemology of imagining to cognitive penetration, and argue that because of the role that imaginings play, some cognitively penetrated experiences also give their subjects less justification for believing their penetrated contents. (shrink)

According to an oft-repeated narrative, while Kant maintained racist views through the 1780s, he changed his mind in the 1790s. Pauline Kleingeld introduced this narrative based on passages from Kant’s Metaphysics of Morals and “Toward Perpetual Peace”. On her reading, Kant categorically condemned chattel slavery in those texts, which meant that he became more racially egalitarian. But the passages involving slavery, once contextualized, either do not concern modern, race-based chattel slavery or at best suggest that Kant mentioned it as a (...) cautionary tale for labor practices in Europe. Overall, Kant never explicitly considered chattel slavery as a moral problem to be addressed on its own. Rather, he treated it primarily in terms of its function in human history. If he ended up expressing some qualms about its practices, it was likely because they threatened to deepen intra-European conflicts and undermine the prospect of perpetual peace. The humanity of the enslaved “Negroes” was never part of the reasoning. This was not a casual oversight on Kant’s part. It reflects the complexity of his philosophical system: everything he did or did not say about chattel slavery begins to make sense once we connect his philosophy of history and his depiction of “Negroes” as natural slaves. (shrink)

Kant develops a concept of savagery, partly characterized by laziness, to envision a program for human progress. He also racializes savagery, treating native Americans, in particular, as literal savages. He ascribes to this “race” a peculiar physiological laziness, a supposedly hereditary trait of blunted life power. Accordingly, while he grants them the same “germs” for perfections as he does the civilized Europeans, he allows them no prospect of actually fulfilling any such perfection. For the road to perfection must be paved (...) through industry, a condition that Kant denies to the “savages” by racializing their alleged laziness. This case will shed new light on the debated relation between Kant’s moral universalism and his racism. (shrink)

This paper is an original attempt to understand the foundations of economic reasoning. It endeavors to rigorously define the relationship between subjective interpretations and objective valuations of such interpretations in the context of theoretical economics. This analysis is substantially expanded through a dynamic approach, where the truth of a valuation results in an updated interpretation or changes in the agent's subjective belief regarding the effectiveness of the selected action as well as the objective reality of the effectiveness of all other (...) possible actions (i.e. consequence realization). Complications arise when the economic agent is presented with a set of actions that render ambiguous preference, or when the effectiveness of an action cannot be perceived upon its selection, thereby necessitating a different theory of choice and consequence realization. (shrink)

The LIBOR Market Model has become one of the most popular models for pricing interest rate products. It is commonly believed that Monte-Carlo simulation is the only viable method available for the LIBOR Market Model. In this article, however, we propose a lattice approach to price interest rate products within the LIBOR Market Model by introducing a shifted forward measure and several novel fast drift approximation methods. This model should achieve the best performance without losing much accuracy. Moreover, the calibration (...) is almost automatic and it is simple and easy to implement. Adding this model to the valuation toolkit is actually quite useful; especially for risk management or in the case there is a need for a quick turnaround. (shrink)

Ratio, Volume 34, Issue 4, Page 303-311, December 2021.

After long arguments between positivism and falsificationism, the verification of universal hypotheses was replaced with the confirmation of uncertain major premises. Unfortunately, Hemple proposed the Raven Paradox. Then, Carnap used the increment of logical probability as the confirmation measure. So far, many confirmation measures have been proposed. Measure F proposed by Kemeny and Oppenheim among them possesses symmetries and asymmetries proposed by Elles and Fitelson, monotonicity proposed by Greco et al., and normalizing property suggested by many researchers. Based on the (...) semantic information theory, a measure b* similar to F is derived from the medical test. Like the likelihood ratio, measures b* and F can only indicate the quality of channels or the testing means instead of the quality of probability predictions. Furthermore, it is still not easy to use b*, F, or another measure to clarify the Raven Paradox. For this reason, measure c* similar to the correct rate is derived. Measure c* supports the Nicod Criterion and undermines the Equivalence Condition, and hence, can be used to eliminate the Raven Paradox. An example indicates that measures F and b* are helpful for diagnosing the infection of Novel Coronavirus, whereas most popular confirmation measures are not. Another example reveals that all popular confirmation measures cannot be used to explain that a black raven can confirm “Ravens are black” more strongly than a piece of chalk. Measures F, b*, and c* indicate that the existence of fewer counterexamples is more important than more positive examples’ existence, and hence, are compatible with Popper’s falsification thought. (shrink)

Both motivational internalism and externalism need to explain why sometimes moral judgments tend to motivate us. In this paper, I argue that Dreier’ second-order desire model cannot be a plausible externalist alternative to explain the connection between moral judgments and motivation. I explain that the relevant second-order desire is merely a constitutive requirement of rationality because that desire makes a set of desires more unified and coherent. As a rational agent with the relevant second-order desire is disposed towards coherence, she (...) will have some motivation to act in accordance with her moral judgments. Dreier’s second-order desire model thus collapses into a form of internalism and cannot be a plausible externalist option to explain the connection between moral judgments and motivation. (shrink)

A testimony is somebody else’s reported experience of what has happened. It is an indispensable source of knowledge. It only gives us historical cognition, however, which stands in a complex relation to rational or philosophical cognition: while the latter presupposes historical cognition as its matter, one needs the architectonic “eye of a philosopher” to select, interpret, and organize historical cognition. Kant develops this rationalist theory of testimony. He also practices it in his own work, especially while theorizing about race as (...) a subject of natural philosophy. In three dedicated essays on this subject, he treats race from the standpoint of a philosophical investigator of nature (Naturforscher), who (as Kant puts it in the first Critique) learns from nature “like an appointed judge who compels witnesses to answer the questions he puts to them.” This view underwrites Kant’s use of travel reports (a type of testimony) in developing and defending his theory of race. (shrink)

It is a received view that Kant’s formal logic (or what he calls “pure general logic”) is thoroughly intensional. On this view, even the notion of logical extension must be understood solely in terms of the concepts that are subordinate to a given concept. I grant that the subordination relation among concepts is an important theme in Kant’s logical doctrine of concepts. But I argue that it is both possible and important to ascribe to Kant an objectual notion of logical (...) extension according to which the extension of a concept is the multitude of objects falling under it. I begin by defending this ascription in response to three reasons that are commonly invoked against it. First, I explain that this ascription is compatible with Kant’s philosophical reflections on the nature and boundary of a formal logic. Second, I show that the objectual notion of extension I ascribe to Kant can be traced back to many of the early modern works of logic with which he was more or less familiar. Third, I argue that such a notion of extension makes perfect sense of a pivotal principle in Kant’s logic, namely the principle that the quantity of a concept’s extension is inversely proportional to that of its intension. In the process, I tease out two important features of the Kantian objectual notion of logical extension in terms of which it markedly differs from the modern one. First, on the modern notion the extension of a concept is the sum of the objects actually falling under it; on the Kantian notion, by contrast, the extension of a concept consists of the multitude of possible objects—not in the metaphysical sense of possibility, though—to which a concept applies in virtue of being a general representation. While the quantity of the former extension is finite, that of the latter is infinite—as is reflected in Kant’s use of a plane-geometrical figure (e.g., circle, square), which is continuum as opposed to discretum, to represent the extension in question. Second, on the modern notion of extension, a concept that signifies exactly one object has a one-member extension; on the Kantian notion, however, such a concept has no extension at all—for a concept is taken to have extension only if it signifies a multitude of things. This feature of logical extension is manifested in Kant’s claim that a singular concept (or a concept in its singular use) can, for lack of extension, be figuratively represented only by a point—as opposed to an extended figure like circle, which is reserved for a general concept (or a concept in its general use). Precisely on account of these two features, the Kantian objectual extension proves vital to Kant’s theory of logical quantification (in universal, particular and singular judgments, respectively) and to his view regarding the formal truth of analytic judgments. (shrink)

In this thesis, I explore motivational internalism and externalism, which concern the relationship between moral judgments and motivation. I first introduce the basic terms and different forms of internalism and externalism, including the externalist objections to internalism based on the famous counterexamples. I then argue against externalism by defending and developing Michael Smith’s fetishism argument. I not only respond to the externalist objections to the fetishism argument but also further argue against different externalist explanations of moral motivation that intend to (...) avoid the fetishism charge. Finally, I re-examine different forms of internalism in order to argue for a new form of internalism that can better preserve our internalist intuitions whilst accommodating the externalist counterexamples. My ultimate conclusion will be that the most plausible form of internalism to accept is constitutional, unconditional, relatively strong, direct internalism that is formulated in terms of dispositional desires. (shrink)

This paper presents an analytical model for valuing interest rate swaps, subject to bilateral counterparty credit risk. The counterparty defaults are modeled by the reduced-form model as the first jump of a time-inhomogeneous Poisson process. All quantities modeled are market-observable. The closed-form solution gives us a better understanding of the impact of the credit asymmetry on swap value, credit value adjustment, swap rate and swap spread.

A combinatorial analysis of intrinsicality takes intrinsic properties to be independent of accompaniment: a property is intrinsic only if it is possible for a lonely or an accompanied thing to have it or lack it (I). Cameron argues that the combinatorial analysis in Langton & Lewis (1998) faces an epistemic circularity, which makes (I) suspicious. In this paper, I examine two approaches to free the combinatorial analyses from the circularity and find them all fail. Then I provide an outline of (...) an argument for (I) by appealing to the grounding analyses of intrinsicality, which shows an advantage of the grounding analyses over the combinatorial ones. (shrink)

This article presents a generic model for pricing financial derivatives subject to counterparty credit risk. Both unilateral and bilateral types of credit risks are considered. Our study shows that credit risk should be modeled as American style options in most cases, which require a backward induction valuation. To correct a common mistake in the literature, we emphasize that the market value of a defaultable derivative is actually a risky value rather than a risk-free value. Credit value adjustment (CVA) is also (...) elaborated. A practical framework is developed for pricing defaultable derivatives and calculating their CVAs at a portfolio level. (shrink)

Leibniz, and many following him, saw the Principle of Sufficient Reason (PSR) as pivotal to a scientific (demonstrated) metaphysics. Against this backdrop, Kant is expected to pay close attention to PSR in his reflections on the possibility of metaphysics, which is his chief concern in the Critique of Pure Reason. It is far from clear, however, what has become of PSR in the Critique. On one reading, Kant has simply turned it into the causal principle of the Second Analogy. On (...) a different reading, PSR is but the supreme principle of reason, which roughly states that, if the conditioned is given, so is the unconditioned. On my reading, PSR appears in the guises of both the causal principle and the supreme principle. This twofold specification, I argue, is key to understanding (i) Kant’s allegations that past metaphysicians failed to prove PSR, (ii) his own Critical account of the possibility of metaphysics in both of its parts (ontology and metaphysics proper), and (iii) his nuanced answer to the contentious question about the relation between physical inquiry and metaphysical reasoning about nature (both being quests for reasons). (shrink)

In the 1780s through the end of 1790s, Kant made various references to slavery (in its different forms) and the transatlantic slave trade in the context of his political philosophy or philosophy of right; he thereby had opportunities to speak in favor of abolitionism, which was gaining momentum in parts of Europe, or at least to articulate a normative critique of the race-based chattel slavery or Atlantic slavery and the associated slave trade qua (legalized) INSTITUTIONS; but he did neither. Why? (...) In raising and seeking an answer to this question, I am not interested in what Kant’s normative silence about the institutions of Atlantic slavery and slave trade may tell us about him as a person (for example, whether he was blinded by his own racist prejudices or whether he was affected by some kind of cognitive dissonance). Rather, I will focus on what it may tell us about certain limitations of his political philosophy, limitations that might have made it THEORETICALLY DIFFICULT for him to figure out exactly what to DO about those institutions as entrenched political realities. (shrink)

This paper rigorously examines the primitive foundations of economic reasoning through an original framework based on symbolic logic. Extending previous work, it formalizes economic conceptions (\(\mathbb{C}\)), symbols (\(s_i\)), and introduces a structured language (\(\mathcal{L_{\mathbb{C}}}\)) to define their formation and interpretation. Organized as a continuous chain of declarations and illustrations, the paper offers a concise, systematic approach to understanding the philosophy of economic reasoning through formal representations.

How "red", "green" were defined? Through analyzing how two children with congenitally inverted color sensations corresponding to red flags and green grass accept their grand mothers’ teaching about colors, the paper get opposite conclusions against logical empiricism. The “red” and “green” and other names of properties of objects were defined by objective physical properties (or together with behavior, such as in defining “beauty”), instead our sensations. So language directly points to things in themselves passing through sensations and presentative world. It (...) is not that things in themselves are unknowable, but that sensations and presentative world cannot be exactly described by daily language. (shrink)

The one-side defaultable financial derivatives valuation problems have been studied extensively, but the valuation of bilateral derivatives with asymmetric credit qualities is still lacking convincing mechanism. This paper presents an analytical model for valuing derivatives subject to default by both counterparties. The default-free interest rates are modeled by the Market Models, while the default time is modeled by the reduced-form model as the first jump of a time-inhomogeneous Poisson process. All quantities modeled are market-observable. The closed-form solution gives us a (...) better understanding of the impact of the credit asymmetry on swap value, credit value adjustment, swap rate and swap spread. (shrink)

This paper attempts to assess the economic significance and implications of collateralization in different financial markets, which is essentially a matter of theoretical justification and empirical verification. We present a comprehensive theoretical framework that allows for collateralization adhering to bankruptcy laws. As such, the model can back out differences in asset prices due to collateralized counterparty risk. This framework is very useful for pricing outstanding defaultable financial contracts. By using a unique data set, we are able to achieve a clean (...) decomposition of prices into their credit risk factors. We find empirical evidence that counterparty risk is not overly important in credit-related spreads. Only the joint effects of collateralization and credit risk can sufficiently explain unsecured credit costs. This finding suggests that failure to properly account for collateralization may result in significant mispricing of financial contracts. We also analyze the difference between cleared and OTC markets. (shrink)

On Kant’s account, “public use of reason” is the use that a truth-seeking scholar makes of his reason when he communicates his thoughts in writing to a world of readers. Commentators tend to treat this account as expressing an egalitarian ideal, without taking seriously the limiting conditions—especially the scholarship condition—built into it. In this paper, I interrogate Kant’s original account of public reason in connection with his construction of the “Oriental” as a linguistically and therefore epistemically and culturally inferior Other. (...) I thereby give reasons to worry that Kant’s account is substantively inegalitarian (even if it is nominally egalitarian). I also draw attention to the fact that Kant constructed a linguistic Other against the backdrop of colonialism and from a position of power. This positionality gave what he said about the Other an ideology-forming and world-making effect. In this way, his exclusionary discursive practices—such as depicting the Oriental as an inferior linguistic Other—could have a lasting impact on knowledge production and on the real-world exercise of public reason. (shrink)

Kant is regarded as the spokesman of the contemporary declaration of human rights and the forerunner of global citizenship theory. However, this noble image has been questioned by critics for his comment of empirical racial hierarchy stated in the pre-critical period: Kant’s moral law applies only to the white race with the “full personality”. Around the question of whether Kant’s pure moral philosophy was impregnated by his racist view, the defenders of Kant either adopt the negative defense strategy of affirming (...) the transcendental moral philosophy and negating the racial thought, or try to justify the consistency of Kant’s theory from the perspective of his later philosophy of right. The deficiency of these two justifications is that they do not directly deal with the relationship between moral philosophy and race theory. When Kant developed a mature moral theory in the mid-1780s, he also constructed a systemically mature race theory under the guidance of teleology principles to defend the unity of mankind in a different world. This theory can be used as the explanatory basis to prove the universality of Kant’s moral philosophy, which reflects the deep correlation between moral philosophy and race theory. From this perspective, it can not only make up for the lack of defenders and respond to the critics’ doubts, but also portray a consistent egalitarian image of Kant. (shrink)

How does the critical Kant view ontology? There is no shared scholarly answer to this question. Norbert Hinske sees in the Critique of Pure Reason a “farewell to ontology,” albeit one that took Kant long to bid (Hinske 2009). Karl Ameriks has found evidence in Kant’s metaphysics lectures from the critical period that he “was unwilling to break away fully from traditional ontology” (Ameriks 1992: 272). Gualtiero Lorini argues that a decisive break with the tradition of ontology is essential to (...) Kant’s critical reform of metaphysics, as is reflected in his shift from “ontology” to “transcendental philosophy,” two notions that Lorini takes to be related by mere “analogy” (Lorini 2015). I agree with Lorini that a thorough reform of ontology is a pivotal part of Kant’s critical plan for metaphysics and that ontology somehow “survives within the critical philosophy” (Lorini 2015: 76). To make this case, however, I deem it important to identify “ontology” and “transcendental philosophy” in the sense of extensional equivalence. While we can detect this identification in Kant’s writings, only from his metaphysics lectures can we get a full sense of its historical and philosophical significance. In this chapter I focus on how it represents a definitive turn from as well as notable continuity with traditional treatments of ontology, particularly the Wolffian one. (shrink)

This paper presents a new model for pricing OTC derivatives subject to collateralization. It allows for collateral posting adhering to bankruptcy laws. As such, the model can back out the market price of a collateralized contract. This framework is very useful for valuing outstanding derivatives. Using a unique dataset, we find empirical evidence that credit risk alone is not overly important in determining credit-related spreads. Only accounting for both collateral arrangement and credit risk can sufficiently explain unsecured credit costs. This (...) finding suggests that failure to properly account for collateralization may result in significant mispricing of derivatives. We also empirically gauge the impact of collateral agreements on risk measurements. Our findings indicate that there are important interactions between market and credit risk. (shrink)

At A71/B96–7 Kant explains that singular judgements are ‘special’ because they stand to the general ones as Einheit to Unendlichkeit. The reference to Einheit brings to mind the category of unity and hence raises a spectre of circularity in Kant’s explanation. I aim to remove this spectre by interpreting the Einheit-Unendlichkeit contrast in light of the logical distinctions among universal, particular and singular judgments shared by Kant and his logician predecessors. This interpretation has a further implication for resolving a controversy (...) over the correlation between the logical moments of quantity (universal, particular, singular) and the categorial ones (unity, plurality, totality). (shrink)

The origin of languages was a hotly debated topic in the eighteenth century. This paper reconstructs a distinctively Kantian account according to which the origination, progression, and diversification of languages is at bottom reason’s self-development under certain a priori constraints and external environments. The reconstruction builds on three sets of materials. The first is Herder’s famous prize essay on the origin of languages. The second includes Kant’s explicit remarks about language – especially his notion of “transcendental grammar,” his argument that (...) language cannot be innate, his contrast of “Oriental” symbolic (intuitive) and “Occidental” discursive languages, and his treatment of the latter as a sine qua non of humanity’s cultural and moral progress. The third includes the concepts that we need to make sense of those remarks, such as Kant’s epigenetic theory of biological formation and his account of categories as originally acquired. (shrink)

Background: Liver cancer is one of the malignant tumors worldwide, while the prevention and control situation is grim at present, and the diffusion of its early screening technology still faces some challenges. This study aims to investigate the influencing mechanism of perceived ease of use, organizational support mechanism, and industry competitive pressure on hepatic early screening technologies use by physicians, so as to promote the wider use of corresponding technologies. -/- Methods: Under the theoretical guidance of technology-organization-environment framework and mindsponge (...) theory, this study took hepatic contrast-enhanced ultrasound as an example, and conducted a cross-sectional questionnaire by randomly selecting physicians from Fujian and Jiangxi provinces in China with a high and low incidence of liver cancer, respectively. Structural equation modeling was used to determine the correlation among perceived ease of use, organizational support mechanism, and industry competitive pressure, as well as their impact on the physicians’ behavior toward contrast-enhanced ultrasound use. -/- Results: The hypothesis model fits well with the data (χ2/df = 1.863, GFI = 0.937, AGFI = 0.908, RMSEA = 0.054, NFI = 0.959, IFI = 0.980, CFI = 0.980). Under technology-organization-environment framework, the perceived ease of use (β = 0.171, p < 0.05), organizational support mechanism (β = 0.423, p < 0.01), industry competitive pressure (β = 0.159, p < 0.05) significantly influenced physicians’ use of hepatic contrast-enhanced ultrasound. Besides, perceived ease of use and organizational support mechanism (β = 0.216, p < 0.01), perceived ease of use and industry competitive pressure (β = 0.671, p < 0.01), organizational support mechanism and industry competitive pressure (β = 0.330, p < 0.01) were all associated significantly. -/- Conclusion: From the lens of information processing (mindsponge theory) and technology-organization-environment framework, this study clarified the social and psychological influencing mechanism of perceived ease of use, organizational support mechanism, and industry competitive pressure on physicians’ use of hepatic contrast-enhanced ultrasound. The results will directly propose recommendations for expanding hepatic contrast-enhanced ultrasound utilization and indirectly promoting other appropriate and effective health technologies diffusion within the integrated health system. (shrink)

This paper presents a new model for valuing hybrid defaultable financial instruments, such as, convertible bonds. In contrast to previous studies, the model relies on the probability distribution of a default jump rather than the default jump itself, as the default jump is usually inaccessible. As such, the model can back out the market prices of convertible bonds. A prevailing belief in the market is that convertible arbitrage is mainly due to convertible underpricing. Empirically, however, we do not find evidence (...) supporting the underpricing hypothesis. Instead, we find that convertibles have relatively large positive gammas. As a typical convertible arbitrage strategy employs delta-neutral hedging, a large positive gamma can make the portfolio highly profitable, especially for a large movement in the underlying stock price. (shrink)

Introduction: The development of advanced sewage technologies empowers the industry to produce high-quality recycled water, which greatly influences human’s life and health. Thus, this study investigates the mechanism of individuals’ adoption of recycled water from the technology adoption perspective. -/- Methods: Employing the mixed method of structural equation modeling and artificial neural network analysis, we examined a research model developed from the extended Unified Theory of Acceptance and Use of Technology (UTAUT2) framework. To examine the research model, this study employs (...) a leading web-survey company (Sojump) to collect 308 valid samples from the residents in mainland China. -/- Results: The structural equation modeling results verified the associations between the six predictors (performance expectancy, effort expectancy, social influence, facilitating conditions, environmental motivation, and price value), individuals’ cognitive and emotional attitudes, and acceptance intention. The artificial neural network analysis validates and complements the structural equation modeling results by unveiling the importance rank of the significant determinants of the acceptance decisions. -/- Discussion: The study provides theoretical implications for recycled water research and useful insights for practitioners and policymakers to reduce the environmental hazards of water scarcity. (shrink)

Lack of a historical sense is the hereditary defect of philosophers. … So what is needed from now on is historical philosophizing, and with it the virtue of modesty.

This paper presents a Least Square Monte Carlo approach for accurately calculating credit value adjustment (CVA). In contrast to previous studies, the model relies on the probability distribution of a default time/jump rather than the default time itself, as the default time is usually inaccessible. As such, the model can achieve a high order of accuracy with a relatively easy implementation. We find that the valuation of a defaultable derivative is normally determined via backward induction when their payoffs could be (...) positive or negative. Moreover, the model can naturally capture wrong or right way risk. (shrink)

The incremental risk charge (IRC) is a new regulatory requirement from the Basel Committee in response to the recent financial crisis. Notably few models for IRC have been developed in the literature. This paper proposes a methodology consisting of two Monte Carlo simulations. The first Monte Carlo simulation simulates default, migration, and concentration in an integrated way. Combining with full re-valuation, the loss distribution at the first liquidity horizon for a subportfolio can be generated. The second Monte Carlo simulation is (...) the random draws based on the constant level of risk assumption. It convolutes the copies of the single loss distribution to produce one year loss distribution. The aggregation of different subportfolios with different liquidity horizons is addressed. Moreover, the methodology for equity is also included, even though it is optional in IRC. (shrink)

Semantic Information conveyed by daily language has been researched for many years; yet, we still need a practical formula to measure information of a simple sentence or prediction, such as “There will be heavy rain tomorrow”. For practical purpose, this paper introduces a new formula, Semantic Information Formula (SIF), which is based on L. A. Zadeh’s fuzzy set theory and P. Z. Wang’s random set falling shadow theory. It carries forward C. E. Shannon and K. Popper’s thought. The fuzzy set’s (...) probability defined by Zadeh is treated as the logical probability sought by Popper, and the membership grade is treated as the truth-value of a proposition and also as the posterior logical probability. The classical relative information formula (Information=log(Posterior probability / Prior probability) is revised into SIF by replacing the posterior probability with the membership grade and the prior probability with the fuzzy set’s probability. The SIF can be explained as “Information=Testing severity – Relative square deviation” and hence can be used as Popper's information criterion to test scientific theories or propositions. The information measure defined by the SIF also means the spared codeword length as the classical information measure. This paper introduces the set-Bayes’ formula which establishes the relationship between statistical probability and logical probability, derives Fuzzy Information Criterion (FIC) for the optimization of semantic channel, and discusses applications of SIF and FIC in areas such as linguistic communication, prediction, estimation, test, GPS, translation, and fuzzy reasoning. Particularly, through a detailed example of reasoning, it is proved that we can improve semantic channel with proper fuzziness to increase average semantic information to reach its upper limit: Shannon mutual information. (shrink)

Reflection Theory holds that our sensations reflect physical properties, whereas Empiricism believes that sense (data), presentations, and phenomena are the ultimate existence. Lenin adhered to Reflection Theory and criticized Helmholtz’s sensory symbolism for affirming the similarity between a sensation and a physical property. By using information and color vision theories, analyzing the ostensive definition with inverted qualia, and extending the relativity principle, this paper affirms the external world’s existence independent of personal sensations. Still, it denies the similarity between a sense (...) and a physical property. Then, it improves symbolism to analog symbolism and Reflection Theory to Information Reflection Theory. (shrink)

I defend the thesis that Kantian analytic judgments are about objects (as opposed to concepts) against two challenges raised by recent scholars. First, can it accommodate cases like “A two-sided polygon is two-sided”, where no object really falls under the subject-concept as Kant sees it? Second, is it compatible with Kant’s view that analytic judgments make no claims about objects in the world and that we can know them to be true without going beyond the given concepts? I address these (...) challenges in two steps. First, given Kant’s distinction between an object in general = x from an object of sensible intuition, I argue that analytic judgments are about objects in the former sense, no matter whether the purported objects can be given in our intuition. Second, using Kant’s method of representing certain logical relations of concepts with such figures as circles, I construct a model to show that analytic truths are truths about objects in general = x and yet can be determined solely by the intensional relation between the given concepts plus certain Kantian-logical laws. Analytic truths are thus shown as formal in the Kantian sense that they do not presuppose the purported objects as givable in our intuition. This account of the formality of analytic truths captures Kant’s diagnosis of the Leibnizian illusion that we can make material claims about the world by analytically true judgments. (shrink)

Objectives: The growing rate of retraction of scientific publications has attracted much attention within the academic community, but there is little knowledge about the nature of such retractions in schizophrenia-related research. This study aimed to analyze the characteristics of retractions of schizophrenia-related publications.

There is an exegetical quandary when it comes to interpreting Locke's relation to logic.On the one hand, over the last few decades a substantive amount of literature has been dedicated to explaining Locke's crucial role in the development of a new logic in the seventeenth and eighteenth centuries. John Yolton names this new logic the "logic of ideas," while James Buickerood calls it "facultative logic."1 Either way, Locke's Essay is supposedly its "most outspoken specimen" or "culmination."2 Call this reading the (...) 'New Logic interpretation.'On the other hand, from the typical standpoint of a philosopher accustomed to the modern conception of logic, whatever Locke—indeed, whatever most of the... (shrink)