Options, Timing, and Regional Entry of Firms

This paper studies how the possibility to postpone the unrecoverable entry and location cost affects regional entry when post-entry earnings are uncertain. We find that the opportunity cost to enter today is higher when entering a region with high uncertainty relative to a region with low uncertainty.

MoreLess

Year of publication:	1999-04-21
Authors:	Berglund, Elisabet
Institutions:	Institutionen för Nationalekonomi, Umeå Universitet
Subject:	Timing \| Regional uncertainty \| Brownian motion

freely available

Full text |

More access options

Check Google Scholar

In German libraries (KVK)

I need help

More details

Extent:	application/pdf
Series:	Umeå Economic Studies.
Type of publication:	Book / Working Paper
Notes:	The text is part of a series Umeå Economic Studies Number 505 13 pages
Classification:	C61 - Optimization Techniques; Programming Models; Dynamic Analysis ; D21 - Firm Behavior ; D84 - Expectations; Speculations ; R12 - Size and Spatial Distributions of Regional Economic Activity
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005651940