We consider a North-South model of capital mobility in which foreign investment adversely impacts the environment in South. By focusing on the strategic aspects of environmental policies, among other things, we compare different policy regimes, i.e., different combinations of tax and quota. More...

We build a Real Options model to assess the importance of private provision and the impact of expropriation risk on investment timing, investment volumes, governmental costs and social welfare. We consider two types of businesses (essential and non essential businesses) and two stages (operating...

This paper characterizes how firms' strategic interaction in product markets affects the industry dynamics of investment and expected returns. In imperfectly competitive industries, a firm's exposure to systematic risk is jointly affected by its own investment strategy and the investment...