function and underlying uncertainty. We provide analytic expressions and numerical examples for discount factors assuming … simple utility functions and gaussian uncertainty. …

investment behavior in which, contrary to the earlier models based on Poisson processes, uncertainty concerning the moment of the … the value of the firm.It is shown that the impact of trigger value uncertainty is non-monotonic: the investment threshold … decreases with the trigger value uncertainty for low levels of uncertainty, while the reverse is true for high uncertainty …

This paper generalizes the theory of irreversible investment under uncertainty by allowing for risk averse investors in … aversion to examine the e ects of risk aversion, price uncertainty, and other parameters on the optimal investment decision … price uncertainty increases the value of deferring irreversible investments.This e ect is stronger for high levels of risk …

.Kulatilaka and Perotti [1998, Management Science] nd that, in a two-period model, increased product market uncertainty could … increases with uncertainty.In contrast with the two-period model, despite the existence of the strategic option of becoming a … market leader due to a lower marginal cost, more uncertainty always increases the expected time to invest.Furthermore, it is …

technology, the other - demand uncertainty. The impact of these factors on new technology adoption is analyzed. It is shown that … depending on the situation and type of uncertainty, the diffusion uncertainty and jump uncertainty can produce opposite effects. …

the underlying uncertainty is modelled as a random walk on a lattice. The method of the paper is based on the use of the …

incorporates non-technological uncertainty. The former factor follows a process with upward jumps. The impact of these factors on …