Applying the caption evaluation method to studies of visitors’ evaluation of historical districts

A historical district is a comprehensive form of historical attractions, and has diverse features that visitors can gaze on. This study proposes the application of the caption evaluation method, participatory research involving photographing by subjects, to a study of visitors’ evaluation of a historical district as a tourism destination. Thirty Japanese undergraduates who majored in commerce and 27 Japanese adults with an interest in architecture and/or town planning photographed settings of their choice in a Japanese historical district and stated how they perceived the captured settings in an open-ended form. Their statements were subjected to analysis using a software package as well as manual analysis. The results indicate relationships between various elements in the district and the subjects’ feelings and desires. Particularly, favourable evaluations of old objects and unfavourable perceptions of modern objects were implied. The results also suggest the types of activities visitors may wish to participate in.     

On the accuracy of the local linear approximation for the term structure of interest rates

We examine by numerical experiments the accuracy of an analytical approximation for the nonlinear term structure of interest rates, which is obtained by applying the local linear approximation to a generally specified process of the short rate. Under various short-rate models, we compare discount-bond prices computed by the approximation with those calculated by the Monte Carlo method as the benchmark, which shows that deviations are small. Also in this paper, we show that the approximation originally derived in single-factor framework can be easily extended to a multifactor counterpart. We examine the accuracy using an illustrative two-factor model, which also shows the approximation is accurate.