Weitzman (1998) showed that when future interest rates are uncertain, using the expected net present value implies a term structure of discount rates that is decreasing to the smallest possible interest rate. On the contrary, using the expected net future value criteria implies an increasing term structure of discount rates up to the largest possible interest rate. We reconcile the two approach...

Deterministic engineering design often leads to unexpected or physically unrealizable results. This is due to the fact that deterministic design is not able to capture the effects of even slight natural fluctuations of parameters. Deterministic transonic shape optimization is no exception: deterministic designs can result in dramatically inferior performance when the actual operating conditions...

In this study, water management allocated to the agricultural sector’ was analyzed using stochastic dynamic programming under uncertainty conditions. The technical coefficients used in the study referred to the agricultural years, 2013-2014. They were obtained through the use of simple random sampling of 250 farmers in the region for crops wheat, barley, melon, watermelon and ruby grapes under ...