the literature, our empirical findings reveal a negative impact of firm-specific uncertainty on investment. However …, further results show that the investment response is asymmetric, depending on the size and direction of the forecast error …. The investment propensity declines significantly if the realized situation is worse than expected. However, firms do not …

We present a model of firm investment under uncertainty and partial irreversibility in which uncertainty is represented … impact the optimal investment and disinvestment policies, and how the presence oflarge negative jumps can drastically affect … negative effect of uncertainty on firm investment decisions. We test these predictions on a panel dataset of UK firms: we first …

–2011 affect firms’ investment propensity. Understanding how forecast errors affect firm investment behaviour is key to mitigate … impact of absolute forecast errors on investment. Strikingly, asymmetries arise depending on the size and direction of the … forecast error. The investment propensity declines if the realised situation is worse than expected. However, firms do not …

affiliation of the future governor is a source of political risk to firms considering business investment. More importantly, the …We estimate the effect of electorally induced policy uncertainty on investment in the manufacturing sector. Because …, and because the policies relevant to business investment vary systematically by party, uncertainty over the partisan …

infrastructure gap. However, PPP projects are often at risk of becoming distressed or worst being terminated because of the long …