Quasi Option Value and Irreversible Choices
نویسندگان
چکیده
منابع مشابه
Quasi-option value and climate policy choices
In the climate change issue, the environmental irreversibility (risk of an acceleration of mitigation policies if the worse happen) has to be balanced with the investment irreversibility (risk of over-cautious policies). To explore this balance, we define an option value for a precautionary climate policy. Using the simplest decision-making model, we expose how option value relates to the expec...
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Using Italian data, we estimate an option value model to quantify the effect of financial incentives on retirement choices. As far as we know, this is the first empirical study to estimate the conditional multiple-years model put forward by Stock and Wise (1990). This implies that we account for dynamic self-selection bias. We also present an extended version of this model in which the marginal...
متن کاملA comment on “ An arbitrage - free approach to quasi - option value ” by Coggins and Ramezani ∗ Paul
In their article “An Arbitrage-Free Approach to Quasi-Option Value” [J. Environm. Econom. Management 35, 103-125, 1998], Coggins and Ramezani interpreted the concept of quasi-option value introduced by Arrow and Fisher [Quart. J. Econom. 88, 1974, 312-319] as being identical to Dixit and Pindyck’s real option value. This means their approach differs from the approach by Fisher and Hanemann [J. ...
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ژورنال
عنوان ژورنال: SSRN Electronic Journal
سال: 2001
ISSN: 1556-5068
DOI: 10.2139/ssrn.275131