We develop a model of investment timing under uncertainty for a financially constrained firm. Facing external financing …, and at times as a substitute, to the real flexibility given by the optimal timing of investment. We show that: 1) the … alter the standard real options results, with the financial flexibility conferred by internal funds acting as a complement …

productivity, but only for plants that opened before 1963. This timing aligns with the passage of the original 1963 CAA, which …

Real-time pricing (RTP) of electricity would improve allocative efficiency and limit wholesalers' market power …

dependent on the time and location at which it is produced, which is not very controllable with some renewables, such as wind …, which also depends on time and location. Without incorporating these factors, cost-benefit analyses of alternatives are …

Cap and trade programs have considerable heterogeneity in permit validity and compliance timing. For example, permits … have different validity across time (e.g., banking, borrowing, and seasons) and space (e.g., zonal restrictions), and … compliance timing can be annual, in overlapping cycles, or in multi-year periods. We compare and contrast nine prominent cap and …

The real options framework has been used extensively to analyze the timing of investment under uncertainty. While …. We extend the real options framework to model the investment timing decisions of entrepreneurs with such time …-inconsistent preferences. Two opposing forces determine investment timing: while evolving uncertainty induces entrepreneurs to defer investment …

We show how real and financial frictions amplify the impact of uncertainty shocks. We build a model with real frictions …, and find adding financial frictions roughly doubles the impact of uncertainty shocks. Higher uncertainty alongside … for uncertainty exploiting differential firm exposure to exchange rate and price volatility. These results highlight why …