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Real Options Models without Single-Investment Threshold Behavior

Author

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  • Faninam, Farzan

    (Tilburg University, Center For Economic Research)

  • Huisman, Kuno

    (Tilburg University, Center For Economic Research)

  • Kort, Peter M.

    (Tilburg University, Center For Economic Research)

  • Vera, J.C.

    (Tilburg University, Center For Economic Research)

Abstract

No abstract is available for this item.

Suggested Citation

  • Faninam, Farzan & Huisman, Kuno & Kort, Peter M. & Vera, J.C., 2023. "Real Options Models without Single-Investment Threshold Behavior," Discussion Paper 2023-029, Tilburg University, Center for Economic Research.
    • Handle: RePEc:tiu:tiucen:e02a7330-d8ca-4e1e-9564-f59e7848539a
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    File URL: https://pure.uvt.nl/ws/portalfiles/portal/83332245/2023-029.pdf
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    References listed on IDEAS

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    1. Garlappi, Lorenzo, 2004. "Risk Premia and Preemption in R&D Ventures," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 39(4), pages 843-872, December.
    2. Kydland, Finn E. & Prescott, Edward C., 1980. "Dynamic optimal taxation, rational expectations and optimal control," Journal of Economic Dynamics and Control, Elsevier, vol. 2(1), pages 79-91, May.
    3. Avinash K. Dixit & Robert S. Pindyck, 1994. "Investment under Uncertainty," Economics Books, Princeton University Press, edition 1, number 5474.
    4. Robert McDonald & Daniel Siegel, 1986. "The Value of Waiting to Invest," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 101(4), pages 707-727.
    5. Berninghaus, Siegfried & Seifert-Vogt, Hans Gunther, 1993. "The role of the target saving motive in guest worker migration A theoretical study," Journal of Economic Dynamics and Control, Elsevier, vol. 17(1-2), pages 181-205.
    6. Murto, Pauli & Nasakkala, Erkka & Keppo, Jussi, 2004. "Timing of investments in oligopoly under uncertainty: A framework for numerical analysis," European Journal of Operational Research, Elsevier, vol. 157(2), pages 486-500, September.
    7. Avinash Dixit, 1992. "Investment and Hysteresis," Journal of Economic Perspectives, American Economic Association, vol. 6(1), pages 107-132, Winter.
    8. Nalin Kulatilaka & Enrico C. Perotti, 1998. "Strategic Growth Options," Management Science, INFORMS, vol. 44(8), pages 1021-1031, August.
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    Cited by:

    1. Faninam, Farzan, 2023. "The Impact of Multiple Investment Opportunities on the Initial Investment," Other publications TiSEM 86ec19ad-bd36-470a-88c7-4, Tilburg University, School of Economics and Management.
    2. Faninam, Farzan, 2023. "The Impact of Multiple Investment Opportunities on the Initial Investment," Discussion Paper 2023-030, Tilburg University, Center for Economic Research.

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    Keywords

    investment analysis; real options; reinforcement learning;
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