hedging in the presence of demand uncertainty. In this situation, we find that the integrated model can result in better …In this paper, we present a multi-stage stochastic programming model that integrates financial hedging decisions into … particular, we show that, in the illustrative example, the exchange-rate uncertainty cannot be completely eliminated by financial …

this uncertainty cost? Is there a hedging strategy that decision makers can adopt to cope with delayed action and uncertain …. What additional economic cost of mitigation measures will this delay imply? At the same time, the uncertainty surrounding … computing the optimal abatement strategy in the presence of uncertainty about a global stabilisation target (which will be …

-futures markets in the presence of cost and output uncertainty. New results on the implications of the framework for the separation … and the double hedging theorems are derived. The behavior of the same firm with and without complete markets is compared …

misleading are climate strategies designed without accounting for such uncertainty? The main idea underlying the present piece of … research is to assess and discuss the effect of endogenizing this uncertainty on optimal R&D investment trajectories and carbon …, accounting for uncertainty and irreversibility would affect both the optimal level of investment in R&D -which should be higher …

uncertainty that can be witnessed in these liberalized financial markets. The secondrelates to financial engineering with … beyond the conventional sources of bank credit. Interpreting the role of uncertainty, one can observe the connections between … back to John Maynard Keynes's General Theory (1936), where liquidity preference is linked to asset prices and new …

Using a two-moment decision model this paper analyzes corporate hedging behavior in the presence of unified and …, therefore, the incentive for hedging reduces. We demonstrate that pure hedging is differently affected by taxation than … speculative hedging is. Analysing tax-sensitivity of the corporate hedge shows that a higher risk in the first place may reduce …

uncertainty and hedging opportunities. Market transparency is modeled by means of the informational content of publicly observable …

hedging opportunity is introduced by a forward market where the foreign currency can be traded on. We investigate two settings …: First we assume that hedging and output decisions are taken simultaneously. We show that hedging is just done for risk … managing reasons as it is not possible to use hedging strategically. In this setting the well-known separation result of the …