Chiara D’Alpaos; Moretto, Michele; Valbonesi, Paola; … - In: Journal of Economics 110 (2013) 1, pp. 25-43
We consider the supplier’s strategic choice on delivery time in a public procurement setting as the result of the firm’s opportunistic behavior on the optimal investment timing when production costs are uncertain. We model the supplier’s trade-off between the option value to defer the...