This paper presents a tractable model of a firm that chooses both the scale and timing of its investment. The value …-maximizing investment policy is lumpy, and sensitivity analysis shows that greater demand volatility is associated with the firm choosing to … volatility leads to investment in smaller increments, more frequently. Overall, the reduced frequency dominates the greater scale …

factor, and external investment adjustment costs. First-order conditions of the model are estimated by the generalized method …

This paper investigates the impact of technical progress on the relationship between competition an investment. Using a …, I find that technical progress, which increases the impact of investment on cost reduction, decreases the level of … competition that maximizes investment of the industry. This feature holds also for consumer surplus and Welfare. In the model …

This paper investigates the impact of technical progress on the relationship between competition an investment. Using a … find that technical progress, which increases the impact of investment on cost reduction, decreases the level of … competition that maximizes investment of the industry. This feature holds also for consumer surplus and Welfare. In the model …

This paper investigates the impact of technical progress on the relationship between competition an investment. The …. In a context of duopoly, technical progress raises investment of the industry and tends to reduce the degree of … substitutability that maximizes investment. Five examples illustrate this feature and highlight the fact that technical progress is not …

The determinants of investment behaviour are essentially preferences, endowments, production possibilities and … generally assumed, i.e. exponential and time-consistent preferences. In this paper I develop a simple model of land investment … security on investment incentives do not hold in this more general setting. In particular, I show that an inverse relation …

In this paper we perform a meta-analysis on empirical estimates of the impact between investment and uncertainty. Since … investment research. For example, not including factor prices in investment models may seriously affect the model outco! mes … can explain to a large extent why empirical estimates of the investment-uncertainty relationship differ. …

Investment in physical capital at the micro level is infrequent and large, or lumpy. The most common explanation for … costs make investment lumpy at the micro level, even in the absence of non-convex adjustment costs. When collecting and … behavior results in infrequent and possibly large capital adjustments. The model fits plant-level investment rate moments well …