In simple, two period models of the development of land, K. Arrow and A. Fisher, and C. Henry have shown that when the decision to develop is (i) irreversible, and (ii) indivisible, a land developer who disregards the possibility of acquiring new information about the result of land development...

The Arrow-Fisher-Henry (AFH) analysis of land development under uncertainty has been conducted in a two period model. Recently, Capozza and Helsley (1990), Batabyal (1996, 1997, 2000), and others have analyzed the question of land development under uncertainty in a multi-period setting. We...

The quasi-option value (QOV) literature originated by Arrow and Fisher (1974) and by Henry (1974) is largely concerned with the analysis of two-period models of land development. Our paper extends this literature by analyzing two scenarios in which the decision to develop land is made in a...

Recently, Batabyal and Yoo (2003) have studied aspects of indivisible and divisible land development in a dynamic and stochastic framework. In this note, we complement the analysis in this paper by examining an aspect of the indivisible land development decision when a landowner has an...

We analyze the nature of research and development (R&D) that leads to Schumpeterian economic growth in a region that is creative in the sense of Richard Florida. The engine of economic growth in our creative region is process innovations that lead to quality improvements in the machines that are...

We analyze the nature of research and development (R&D) that leads to Schumpeterian economic growth in a region that is creative in the sense of Richard Florida. The engine of economic growth in our creative region is process innovations that lead to quality improvements in the machines that are...

The Arrow/Fisher/Henry/ study of land development in the presence of uncertainty has been conducted in a two period model in which the development decision is indivisible. Very recently, this study has been extended to analyze the development problem in a multi-period framework. Nevertheless,...