The hydrogen bomb

The hydrogen bomb INTRODUCTION The Hydrogen bomb was first suggested by Edward Teller in 1942 but active work on it was pursued in the summer of 1942 by Oppenheimer,Teller,Los Alamos and others. The first thermonuclear bomb was exploded in 1952 atEnewetak by the United States, the second in 1953 by Russia (then the USSR). Great Britain, France, and China have also exploded thermonuclear bombs, and these five nations comprise the so-called nuclear club—nations that have the capability to produce nuclear weapons and admit to maintaining an inventory of them. Several other nations either have tested thermonuclear devices or claim to have the capability to produce them, but officially state that they do not maintain a stockpile of such weapons; among these are India, Israel, and Pakistan. South Africas apartheid regime built six nuclear bombs but dismantled them later. What is Hydrogen Bomb? Hydrogen bomb is based on nuclear fusion reaction and it deriving a large portion of its energy from the nuclear fusion of hydrogenisotopes. The hydrogen bomb functions by the fusion, or joining together, of lighter elements into heavier elements.The hydrogen bomb is also known as a thermonuclear bomb because extremely high temperatures are required in order to initiate fusion reactions. Hydrogen bomb is based on process called â€Å"Nuclear fusion†. Nuclear fusion is the process by which atomic nuclei join together to form a heavier nucleus. The fusion of two nuclei with lower mass thaniron generally releases energy while the fusion of nuclei heavier than iron absorbs energy. In the simplest case of hydrogen fusion, two protons have to be brought close enough for their mutual electric repulsion to be overcome by thenuclear forceand the subsequent release of energy. H2+H3⇒He4+n+Q Energy release Q=17.6 MeV Design of hydrogen bomb All thermonuclear weapons existing in the world today appear to be based on a scheme usually called the Teller-Ulam design†. It contain the Staged explosion of fission (primary) bomb and fusion (secondary bomb). The fusion bomb is triggered by rapid shock driven compression (Ulam) which is enhanced by radiation pressure (Teller) from released X-ray and ÃŽ ³-ray flux. Primary fision device contain :- core: U239 and U235 plus H2+H3 Booster shell: U238 Tamper High explosive lenses Secondary fusion device contain:- Radiation Channel U239 PU spark plug Li6 ,H2 ,H3 fusion cell U238 Tamper Design of modern Hydrogen-bomb Hydrogen bomb design is based on a bomb casing containing implosion fission bomb and a cylinder casing of U238 tamper). Within the tamper is the Li6 Deuteride fusion fuel and ahollow rod of Pu239 in the centre of the cylinder. Separating the cylinder from the implosion bomb is a shield of U238 and plastic foam that fills the remaining space in the bomb casing The detonation of the trigger bomb will cause the following sequence of events: The fission bomb implodes, emitting X-rays. X-rays heat the interior of the bomb and the tamper prevents premature detonation of the fuel. The heat causes the tamper to expand and burn away,exerting pressure inward against the lithium deuterate. The lithium deuterate is squeezed by about 30-fold. The compression shock waves initiates fission in the plutonium rod. The fission rod gives off radiation, heat and neutrons. The neutrons enter the lithium deuterate and generate tritium. The combination of high temperature and pressure is sufficient for tritium-deuterium and deuterium-deuterium fusion reactions to occur ,producing more heat, radiation and neutrons. The neutrons from the fusion reactions induced fission in the uranium 238 pieces from the tamper and shield. Fission of the tamper and shield pieces produced even more radiation and heat . The bomb explodes. USES AND APPLICATIONS Hydrogen bombs are used as weapons in many countries. Apart from their use as weapons,nuclear explosiveshave been also tested and used for variousnon-military uses. When long term health and clean-up costs were included, there was no economic advantage over conventional explosives. Synthetic elements such aseinsteiniumandfermium, created by neutron bombardment of uranium and plutonium during thermonuclear explosions, were discovered in the first thermonuclear bomb test. In 2008 the worldwide presence of new isotopes from atmospheric testing beginning in the 1950s was developed into a reliable way of detecting art forgeries, as all paintings created after that period contain traces ofcesium-137andstrontium-90, isotopes that did not exist in nature before 1945. An important aspect of fusion energy in contrast to many other energy sources is that the cost of production isinelastic. The cost of wind energy, for example, goes up as the optimal locations are developed first, while further generators must be sited in less ideal conditions. With fusion energy, the production cost will not increase much, even if large numbers of plants are built. It has been suggested that even 100 times the current energy consumption of the world is possible.Some problems which are expected to be an issue in this century such asfresh water shortagescan actually be regarded merely as problems of energy supply. For example, in desalinationplants,seawatercan be purified throughdistillationorreverse osmosis. However, these processes are energy intensive. Even if the first fusion plants are not competitive with alternative sources, fusion could still become competitive if large scale desalination requires more power than the alternatives are able to provide.Despite being technicallynon-renewable, fusion power has many of the benefits of long-term renewable energy sources as well as some of the benefits of the much more limited energy sources as hydrocarbons and nuclear fission. Like these c urrently dominant energy sources, fusion could provide very high power-generation density and uninterrupted power delivery. RESULT AND DISCUSSION In 1945 an atomic bomb was dropped on Hiroshima, it killed at least 70,000 Japanese and many were injured. It is assumed that the hydrogen bomb is 1000 times more powerful than an atomic bomb.[5] So if we use fusion power as source of energy rather than weapons then it should be more beneficial for us. Fusion power would provide much more energy for a given weight of fuel than any technology currently in use,and the fuel itself (primarilydeuterium) exists abundantly in the Earths ocean: about 1 in 6500 hydrogen atoms in seawater is deuterium.Although this may seem a low proportion (about 0.015%), because nuclear fusion reactions are so much more energetic than chemical combustion and seawater is easier to access and more plentiful than fossil fuels, some experts estimate that fusion could supply the worlds energy needs for millions of years. Therefore Hydrogen bomb has both advantages and disadvantages but if we use fusion power as energy source then it should be more beneficial for all of us.

Candide Response

Arthur Johnson Western Letters – Professor Fayard Response Essay 2 10/29/12 Arthur Johnson Western Letters – Fayard 10/29/12 Response Essay #2 Francois-Marie Arouet De Voltaire shows in many instances in Candide that he does not buy into the idea of the Enlightenment. With Voltaire’s simple mockery of the idea of a perfect world with a perfectly good God, it is evident that he does not appreciate the idea that everything happens for a reason.Despite Voltaire holding these extremely negative views on whether or not there is a good God, if there is a God at all, he puts in place a character in Candide that arguably contradicts his hateful and pessimistic views on the idea that everything happens for a reason. Voltaire places an old lady in Candide, whom clearly suffers greatly, but continues to get out of her tragedies and makes the decision to continue on living life because living is worth every bit of pain and suffering that comes.This old lady contradicts Volta ire’s negative views on the idea that everything happens for a reason because she continually escapes from her tragic experiences. The old lady continues to reinforce the idea that there is a purpose for everything and that good will eventually come out from even the most evil of situations and scenarios. The old lady not only contradicts Voltaire’s hateful outlook on the idea that everything happens for a reason, but she to an extent revamps and matures Pangloss’ outlook on optimism.Instead of thinking that everything is great and perfectly good, the old lady believes that there are some horrible things in life, but living is worth every bit of struggle that comes along with it. In theory it would be safe to come to a conclusion that would suggest that the old lady believes that despite of all the horrific and brutal events that come with living, there are greater things in life that make suffering a worthwhile price. This idea would also fall into the idea tha t everything does indeed happen for a reason.The old lady used to live a promising life as the daughter of the pope and a princess, who was once seen by many as one of the most beautiful people women ever, a woman who had a body as beautiful as â€Å"the Venus of Medici†. For a better graphic, the Venus of Medici was a Hellenistic life-size classical statue, much like the Venus de Milo, that was a depiction of the Greek goddess of love, Aphrodite. The old lady was at one point in her life a modern day celebrity, but all of what she had going for her was stolen, and yet she continued to live.The old lady while in conversation with Candide and Cunegonde says â€Å"Imagine my situation, the daughter of a pope, only fifteen years old, who in the space of three months had been exposed to poverty and slavery, been raped almost daily, had seen her mother torn to pieces, had endured war and famine, and who is now dying of the plague in Algiers. As it happens, I didn't die† (Vo ltaire). Voltaire also makes a strong emphasis on the old lady losing one of her buttocks, but despite that she continues to get on her horse, and ride it with just one of her buttocks.The old lady has clearly suffered tremendously. She has been through more hardships and trials than Candide and Cunegonde ever have, even though they seemed to have suffered a lot themselves. Despite all of the pains and sufferings that this old woman has been through, she consistently chose not to loathe in self-pity, and also chose life over death one hundred out of one hundred times. If this old woman did not sincerely believe that there was a reason to live and suffer, then why in Heaven’s mind would she ever decide to continue to live a life full of painful and tragic events?Simply putting it, she would not be in her right mind to continue on living a life of pain and suffering if there was no greater payout or at least a small reason for her pains and sufferings. The old woman’s re ason for living, the old woman’s payout for all of her pains and sufferings, and the old woman’s reason for not loathing in self-pity and ending her life was because she enjoyed living life too much. The old lady says to Candide and Cunegonde, â€Å"a hundred times I wanted to kill myself, but always I loved life more† (Voltaire).On the contrary the old lady also mentioned that the notion of loving life while it is miserable is equivalent to holding on to existence in horror, but still clinging on to it or to fondle a serpent that devours until it has eaten our hearts away. The old lady labeled this notion that she carries and that many others carry as ridiculous, extremely weak, and one of human’s worst instincts. Yet, she still decided to endure the hardships, live in her self-labeled â€Å"weakness†, and continued on living a life that pays her with reasons in wanting to live out her life.There is never a crystal clear glimpse of why the old wom an loves living so much, but she does defy Voltaire once more at the end of Candide. While in conversation with Candide in the final chapter, the old lady says to Candide â€Å"I should like to know which is worse, being raped a hundred times by negro pirates, having a buttock cut off, running the gauntlet in the Bulgar army, being flogged and hanged in an auto-da-fe, being dissected and rowing in the galleys—experiencing, in a word, all the miseries through which we have passed—or else just sitting here and doing nothing? (Voltaire). Voltaire places Candide’s garden in Candide as another form of mockery to the idea that everything happens for a reason and their world is the best of all possible worlds. Despite Voltaire inputting the garden as a mockery to Candide’s â€Å"ignorant and ridiculous† philosophy on life, the old lady was not any happier than she was when she was being raped, flogged, beaten, or hung. The old lady was just as â€Å"mis erable† as she was during all of her actual tragedies and hardships she faced, and yet she still continued to love living life and not loathe in her self-pity.The old lady’s life is a testament to there being a reason to the events and tragedies that occur in life. All of the hardships, pains, and sufferings that enter the lives of people happen so that people can grasp and understand the greatness and love for living life. Much like the old lady, people have to endure the pains and sufferings of life because living and experiencing life is worth every ounce of lost blood, sweat, and tears.

Grief and Loss Essay

Losing someone or something we love is very painful. We may experience all kinds of difficult emotions and it may feel like the sadness will never let up. These are normal reactions to a significant loss. But while there is no right or wrong way to grieve —there are healthy ways to cope with the pain. Grief is a natural response to loss. It’s the emotional suffering we feel when something or someone we love is taken away. We may associate grief with the death of a loved one – and this type of loss does often cause the most intense grief. But any loss can cause grief, including: * A relationship breakup * Loss of health * Losing a job * Loss of financial stability * A miscarriage * Death of a pet * Loss of a cherished dream * A loved one’s serious illness * Loss of a friendship * Loss of safety after a trauma The more signifcant the loss, the more intense the grief. However, even subtle losses can lead to grief. For example, we might experience grief after moving away from home, graduating from college, changing jobs, selling our family home, or retiring from a career we loved. Grieving is a personal and highly individual experience. How we grieve depends on many factors, including personality and coping style, life experience, faith, and the nature of the loss. The grieving process takes time. Healing happens gradually; it can’t be forced or hurried – and there is no â€Å"normal† timetable for grieving. Some people start to feel better in weeks or months. For others, the grieving process is measured in years. Whatever grief experience, it’s important to be patient and allow the process to naturally unfold. (Bowlby 1977) In 1969, psychiatrist Elisabeth Kà ¼bler-Ross introduced what became known as the â€Å"five stages of grief.† These stages of grief were based on her studies of the feelings of patients facing terminal illness, but many people have generalized them to other types of negative life changes and losses, such as the death of a loved one or a break-up. The five stages of grief: * Denial: â€Å"This can’t be happening to me.† * Anger: â€Å"Why is this happening? Who is to blame?† * Bargaining: â€Å"Make this not happen, and in return I will ____.† * Depression: â€Å"I’m too sad to do anything.† * Acceptance: â€Å"I’m at peace with what happened.† If we are experiencing any of these emotions following a loss, it may help to know that our reaction is natural and that we’ll heal in time. However, not everyone who is grieving goes through all of these stages – and that’s okay. In fact, some people resolve their grief without going through any of these stages. And if we do go through these stages of grief, we probably won’t experience them in a neat, sequential order.(Parkes 1972) Kà ¼bler-Ross herself never intended for these stages to be a rigid framework that applies to everyone who mourns. In her last book before her death in 2004, she said of the five stages of grief, â€Å"They were never meant to help tuck messy emotions into neat packages. They are responses to loss that many people have, but there is not a typical response to loss, as there is no typical loss. Our grieving is as individual as our lives.† Instead of a series of stages, we might also think of the grieving process as a rol ler coaster, full of ups and downs, highs and lows. Like many roller coasters, the ride tends to be rougher in the beginning, the lows may be deeper and longer. The difficult periods should become less intense and shorter as time goes by, but it takes time to work through a loss. Even years after a loss, especially at special events such as a family wedding or the birth of a child, we may still experience a strong sense of grief. While loss affects people in different ways, many people experience the following symptoms when they’re grieving. Important thing to remember that almost anything that we experience in the early stages of grief is normal – including feeling like we’re going crazy, feeling like we’re in a bad dream, or questioning our religious beliefs. * Shock and disbelief – Right after a loss, it can be hard to accept what happened. Feeling numb, have trouble believing that the loss really happened, or even deny the truth. If someone we love has died, we may keep expecting them to show up, even though we know they’re gone. * Sadness – Profound sadness is probably the most universall y experienced symptom of grief. We may have feelings of emptiness, despair, yearning, or deep loneliness. We may also cry a lot or feel emotionally unstable. * Guilt – We may regret or feel guilty about things you did or didn’t say or  do. We may also feel guilty about certain feelings (e.g. feeling relieved when the person died after a long, difficult illness). After a death, we may even feel guilty for not doing something to prevent the death, even if there was nothing more we could have done. * Anger – Even if the loss was nobody’s fault, we may feel angry and resentful. If we lost a loved one, we may be angry at our self, God, the doctors, or even the person who died for abandoning us. We may feel the need to blame someone for the injustice that was done. * Fear – A significant loss can trigger a host of worries and fears. We may feel anxious, helpless, or insecure. We may even have panic attacks. The death of a loved one can trigger fears about own mortality, of facing life without that person, or the responsibilities we now face alone. * Physical symptoms – We often think of grief as a str ictly emotional process, but grief often involves physical problems, including fatigue, nausea, lowered immunity, weight loss or weight gain, aches and pains, and insomnia. The single most important factor in healing from loss is having the support of other people. People aren’t quite often comfortable talking about their feelings under normal circumstances, it’s important to express them when grieving. Sharing loss makes the load of grief easier to carry. Wherever the support comes from, it is important to accept it and do not grieve alone. It’s normal to feel sad, numb, or angry following a loss. But as time passes, these emotions should become less intense as we accept the loss and start to move forward. If we aren’t feeling better over time, or grief is getting worse, it may be a sign that grief has developed into a more serious problem, such as complicated grief or major depression. The sadness of losing someone we love never goes away completely, but it shouldn’t remain centre stage. If the pain of the loss is so constant and severe that it keeps us from resuming our life, we may be suffering from a condition known as complicated grief. Complicated grief is like being stuck in an intense state of mourning. We may have trouble accepting the death long after it has occurred or be so preoccupied with the person who died that it disrupting daily routine and undermines other relationships. (Simons 1979) Symptoms of complicated grief include: * Intense longing and yearning for the deceased * Intrusive thoughts or images of your loved one * Denial of the death or sense of disbelief * Imagining that your loved one is alive * Searching for the person in familiar places * Avoiding things that remind you of your loved one * Extreme anger or bitterness over the loss * Feeling that life is empty or meaningless Every person is individual and deal with grieving process differently ,however some people experience high level of distress which brings them to see the counsellor. (Stroebe,Schut & Stroebe,2005)People seeking counselling would quite often come for help with thoughts, behaviours, feelings or ability to coop. Sometimes grieving person realizes that counselling is the way to go sometimes family or friends would recognize the symptoms and recommend counselling to the grieving person. In both cases it’s counsellors responsibility to help the survivor to adapt to the change. There are certain principles and procedures than counsellor should follow to help client work through grieving process and come to a good outcome. 1, Actualize the loss Talking about loss may be very difficult for client. This can be encouraged by counsellor by asking appropriate questions: when this happened, how this happened, who told you about it, where were you†¦ some clients would need to go over and over it in their minds before they can be fully aware that it has happened. There is not a time scale for this and counsellor will have to follow clients own pace. Counsellor is in this stage clients listener and can facilitate the growing awareness of the loss and its impact by encouraging to verbalize current and past memories of the deceased. 2, Identify and experience feelings Many clients come to counselling as the are worried about what they are feeling. Some feelings can be very confusing and problematic such as anger ,guilt ,helplessness, loneliness, anxiety. Counsellor’s role is to ensure client that all these feelings are natural and are part of grieving process and help them to acknowledge these sometimes negative feelings. It is important not to leave client with negative feelings but to help them find balance between the negative and positive feelings as focusing on negativity may put client in the risk of complications in the bereavement and make them  suitable for medical treatment(Neimeyer 2000) 3, Assist adapt to the loss To achieve this counsellor may use problem solving approach. What are the problems that client is facing and how can this be solved? Counsellor can help to learn effective coping skills help with self esteem if needed .Good judgement of situation is necessary as during acute grief there is an increased risk of maladaptive response. 4, Help find meaning in the loss The specific ways in which people find meaning-strategies such as â€Å"there’s a spiritual order to the universe†,†she drank too much†,I needed to learn something†-may be less sailent than the process itself .In other words,the ability to reascribe meaning to a change world may be more significant than the specific content by which that need is fulfilled.(Schwartzberg and Halgin 1991,p.245) Finding meaning in loss is one of the goals of counselling. The process can be as important as the meaning. 5, Facilitate emotional relocation By this counsellor can help client find a new place in their own life which will help them to move forward with life. Some people don’t need any encouragement but there are many who do. Especially with loss of loved ones people are tended to feel that if they will move on it will dishonour the memory of the deceased or no one will ever fill the place of lost one. Counsellor can help client to realize that this is true to certain extend but it is all right to live and enjoy their own life. 6, Provide time to grieve Grieving requires time and every person deal with loss differently. Client may be going backward and forward in grieving process and counsellor is there to allow as much time as client needs. Sometimes family and friends seem to the grieving person as â€Å"they don’t understand† â€Å"they keep telling me what to do† etc. Counsellor can help interpret to family members that grieving person needs to accommodate to the loss. There is also a critical time periods which for grieving person is more likely to be difficult to coop with. This would be anniversaries, birthdays ,Christmas and holidays. It is advised to make a note of this dates as grieving person would often  need extra support .If these critical dates come after counselling treatment has finished it is advised to make an arrangements to contact client. 7, Allow for individual differences Grieving process has a wide range of behavioural responses and has strong individual differences in the intensity of reactions, pain ,length of time (Schvartzberg&Halgin,1991) Counsellor can help to explain these differences to the family as sometimes they expect everyone to grieve the same way. Of course client’s ethnicity, religion, upbringing and beliefs play major role in the process and counsellor has to be familiar with these factors. 8, Examine defences and coping styles When rapport between client and counsellor has developed clients are more willing to discuss their behaviour. Some of the coping styles can be dangerous( alcohol and drug abuse) and not making adjustment to the loss. Counsellor has to be alert and inquire about this as heavy drug or alcohol use can intensify the grief and depression. As a general rule, normal grief does not warrant the use of antidepressants. While medication may relieve some of the symptoms of grief, it cannot treat the cause, which is the loss itself. Furthermore, by numbing the pain that must be worked through eventually, antidepressants delay the mourning process. Counsellor can help with active emotional coping which seems to be most effective way to deal with bereavement. This techniques includes using humour ,reframing and redefining difficult situation. 9, Identify Pathology and refer In some cases counsellor may recognize a pathological difficulties in client’s behaviour .Some people will not be able to coop and will continue to struggle. This can develop to some type of complicated grief. .In this case counsellor will have to refer client for different type of psychotherapy. Left untreated, complicated grief and depression can lead to significant emotional damage, life-threatening health problems, and even suicide. To summarize grieving process is natural reaction to the loss It is personal highly individual experience. There is impossible to set a time scale or ask when grieving process is finished. Bowlby(1980) and Parkes (1972) both say that grieving is finished when a person completes the final  phase of restitution. There is a sense in which grieving can be finished when people regain an interest in life, feel more hopeful and adapt to the change. In lots of cases grief counselling is helpful but as a therapists we have to accept that not every grieving person needs counselling and for those who do need it counselling has to be customized as grief is unique to each individual ( Neimeyer,2000) References: Bowlby,J.(1980) Attachment and loss ,New York:Basic Books Kubler-Ross,E.(1969) On death and dying. New York:Macmillan Neimeyer,R.(Ed).(2001) Meaning reconstruction and experience of loss. Washington D.C :American Psychological Association Parkes,C.M.(1972).Bereavement:Studies of grief in adult life.New York:International University Press. Sanders,C. (1989 ) Grief:the mourning after.New York Wiley Worden,W.J.(2009) Grief counselling and grief therapy.A handbook for the Mental Health Practitioner New York: Springer Publishing Company

Presence Of Underpricing With Context To Indian Companies Finance Essay - Free Essay Example

Sample details Pages: 4 Words: 1319 Downloads: 7 Date added: 2017/06/26 Category Finance Essay Type Argumentative essay Did you like this example? The objective of the study is to investigate which factors are causing under-pricing of Indian IPOs. As well as it gives a deep knowledge of the Indian Stock market to the Author, as Author intents to have its own Investment firm. Introduction Firms often require raising capital in order to expand their operations. Don’t waste time! Our writers will create an original "Presence Of Underpricing With Context To Indian Companies Finance Essay" essay for you Create order One of the most popular ways for doing it is by Initial Public Offering. IPOs have history of initial first day gains which is also called money left on the table. If we 3 Hot issues with regards to IPO 1. Under pricing 2. The Hot Issue market 3. The long run underperformance Literature Review deals with the writings of the research topic which have been undertaken across the world. It includes books, articles, and research papers. Reasons for under pricing 1. Industry and Activity based classification 2. Reputation of Lead Managers 3. Informed institutional and uninformed individual investors. 4. Literature Review 1. What is the previous work already conducted on the same? 2. What are its weaknesses and Strengths? 3. Objective or issue of your research? 4. The Term Under pricing refers to lower offered price of an IPO then its listed price. Now once we know what is under pricing then the concern comes is that why is under pricing done and what makes us believe that under pricing exists? What are the forces behind it and who is benefitted from it? Our entire research revolves around these questions. Now our research country is India but does it exists in other part of the World as well. Well different academic researchers have conducted a research around this Topic from time to time and have come up with different findings and theories. Most of the Academics have found positive results with regards to IPO Underpricing. We will discuss the works of these academics in detail in next section however I would like to address the major findings of these writers with regards to the reason behind Underpricing. Theories of underpricing can be grouped under four broad headings: asymmetric information, institutional, control, and behavioural. Asymmetric information models assume that one of these parties knows more than the others, and that the resulting informational frictions give rise to underpricing in equilibrium. In stitutional theories focus on three features of the marketplace: litigation, banks ¿Ãƒâ€šÃ‚ ½ price stabilizing activities once trading starts, and taxes. Control theories argue that underpricing helps shape the shareholder base so as to reduce intervention by outside shareholders once the company is public. Finally, behavioural theories assume the presence of  ¿Ãƒâ€šÃ‚ ½irrational ¿Ãƒâ€šÃ‚ ½ investors who bid up the price of IPO shares beyond true value. (https://mba.tuck.dartmouth.edu/Pages/Faculty/Espen.Eckbo/PDFs/Handbookpdf/CH7-IPO%2005-24-06.pdf) Lines taken from Page 1 Abstract Lot of literature already exists with regards to presence of Underpricing. Let ¿Ãƒâ€šÃ‚ ½s have a view on them one by one and discuss the questions unanswered by these theories or existing literature. Baron ¿Ãƒâ€šÃ‚ ½s Model (1982) Leland and Pyle ¿Ãƒâ€šÃ‚ ½s Model (1977)/ Asymmetric Information Model: Leland and Pyle ¿Ãƒâ€šÃ‚ ½s gave t he concept of asymmetry information with regards to IPO ¿Ãƒâ€šÃ‚ ½s. They suggested that quality and valuation of a project can be valued by value of shares retained by its on entrepreneurs. If a project is of really high value then entrepreneurs who have inside information about the project will personally like to invest more in their own projects and would keep more shares with them. On the other hand entrepreneurs who know that their projects are of low quality would be less interested in retaining more shares with them. Thus valuation of an IPO can be measured by the percentage of shares retained by its owners. If owners are retaining more percentage of shares with them then the project tends to be of high quality and if project is of low quality then owners will keep a lesser percentage of shares with them. Adverse Selection and Rock ¿Ãƒâ€šÃ‚ ½s Model of Winner ¿Ãƒâ€šÃ‚ ½s Curse Problem: Rock ¿Ãƒâ€šÃ‚ ½s model (1986) Information Acquisition: Be nveniste and Spindt ¿Ãƒâ€šÃ‚ ½s (1989) Prospect Theory: Loughran and Ritter (2003) Corruption Hypothesis: Loughran and Ritter (2003), Signaling Hypothesis: Welch (1989) supported signalling theory of IPO underpricing. According to it firms signal quality of IPO to less informed investors. This fact was supported by Allen and Faulhaber (1989) and Grinblatt and Hwang (1989). They said that when information asymmetries exist then investors are not able to distinguish between high quality firms and low quality firms. High quality firms then signal their quality at a cost too high which becomes difficult for a low quality firm to be replicated by discounting the offering price from market price. A Protection from Legal Liability Models of Book Building: Sherman ¿Ãƒâ€šÃ‚ ½s (2000) Research Methodology The Aim of this study is to understand extent of Underpricing which exist in Indian IPO ¿Ãƒâ€šÃ‚ ½s. We will discuss the methodology which will be used to understand data of given IPO ¿Ãƒâ€šÃ‚ ½s. Objectives of Study Following are the objectives which are kept in mind before conducting this study. 1. Existence of Regulatory framework regarding IPO ¿Ãƒâ€šÃ‚ ½s data in India. 2. Presence of Underpricing from date of offer to date of listing. 3. Analyzing the IPO performance in Short Run and in Long Run for period of 3 years. 4. Examining Factors effecting price of IPO ¿Ãƒâ€šÃ‚ ½s. Data and Methodology Data for the following research has been collected from NSE of India. Data is selected on below given criteria:- 1. IPO ¿Ãƒâ€šÃ‚ ½s are listed in NSE at least before 3 years for short run and long run analysis of performance. 2. Data includes the following information:- Name of Organization, Offer P rice, listing price, Current Price and date of offering and listing. 3. Short Run Analysis: IPO ¿Ãƒâ€šÃ‚ ½s from 1990 are included for study and research. Total number of companies are 4. Long Run analysis: IPO ¿Ãƒâ€šÃ‚ ½s from 1990- 2007 are used to measure performance and underpricing in long run. 5. Factor influencing prices of IPO ¿Ãƒâ€šÃ‚ ½s will be discussed to examine performance of IPO ¿Ãƒâ€šÃ‚ ½s. Results are computed to check the real value of the stock or its deviation from real value. Underpricing will be reflected if results computed are positive on the other hand if results are negative then it reflects that share are overvalued. Results will be analyzed for different time periods from One week to 6 Months. IPO return is computed as the difference between the closing price and opening price divided by the offer price. Where R_Return = Subscriber ¿Ãƒâ€šÃ‚ ½s initial return (hereafter raw return) P1= Closing price on the first day of trading P0= Offer Price Next thing which needs to be observed is time gap between application date and listing date. Generally Time Gap in India is quite large so it involves an opportunity cost. So we need to compute it as per changes in market. So the next equation would be Where MAER is Market Adjusted Excess Return M1= Closing Value of Market Index on First day of closing M0= Closing Value of Market Index on the Offer Closing Date Next thing comes is equation for checking price for different time periods from 1 week to 6 months so equation formed would be like this:- Now R_Ret.t =Raw return of stock at time t after listing day Pt= Closing price at the time t P0= Closing price on Listing day Similarly, the market adjusted excess returns are calculated for given time period by the following formula Hypothesis 1. Age does not contribute to price performance in IPO. 2. Size of Issue does not affect pricing performance of IPO . 3. There is no relation between subscription level and pricing information of IPO. 4. There is no relation between listing lead time and pricing performance of IPO. 5. Long Run underpricing is more than short run underpricing. Refrences 1. Allen, Franklin, and Gerald R. Faulhaber, Signaling By Underpricing in the IPO Market, Journal of Financial Economics, 23 (1989), pp. 303-323 2. Grinblatt, Mark, and Chuan Yang Hwang, Signaling and the Pricing of New Issues, Journal of Finance, 44 (June 1989), pp. 393-420. 3. Welch, Ivo, Seasoned Offerings, Imitation Costs, and the Underpricing of Initial Public Offerings, Journal of Finance, 44 (June 1989), pp. 421-449