We extend the Arrow–Fisher–Hanemann–Henry (AFHH) and Dixit–Pindyck (DP) option values to a game situation. By reinterpreting the AFHH option value as a change in the surplus from conservation because of the prospect of future information, we deal with a conceptual difficulty associated with the AFHH option value in the presence of strategic interactions. We then introduce the DP option value in...

OBJECTIVE To quantify in the context of chronic myeloid leukemia (CML) the additional value patients receive when innovative treatments enable them to survive until the advent of even more effective future treatments (ie, the "option value"). STUDY DESIGN Observational study using data from the Surveillance, Epidemiology and End Results (SEER) cancer registry comprising all US patients with C...

Global warming, alterations of ecosystems, and sunk investments all imply irreversible changes with uncertain future costs and benefits. The Arrow-Fisher-Hanemann-Henry quasi-option value and the Dixit-Pindyck option value both measure how irreversibility and uncertainty change the value of preserving an ecosystem or postponing an investment. This paper shows the precise relation between the tw...

European Range Accrual Option pricing and deviation Formula has been deduced through observing the foundational asset probabilistic distribution characteristics with help of Ito’s lemma, relaxing boundary assumption to infinity zero respectively, classical Black-Scholes option formula worked out. This paper subsequently articulates numerical value simulated computation algorithm using...