This paper studies the aggregate implications of microeconomic investment irreversibility and idiosyncratic uncertainty …

In this paper we analyse the impact of policy uncertainty on foreign direct investment strategies. The paper follows …

: capital investment, hiring, research and development, and advertising. We find that uncertainty depresses capital investment … literature emphasizing that long investment lags create valuable real put options which offset the effects of call options lost … roughly a third of the fall in capital investment and hiring that occurred in 2008-10 …

reverting processes are rarely used in investment models in the literature. In most models, geometric Brownian motion processes … investigations of aggregate industry investment …

turn affect rent. By extending the theory of investment under uncertainty, we model the renter's decision to buy a house … and the landlord's decision to sell as the exercising of real options of waiting and examine real options effects on rent …

In this paper we analyse the impact of policy uncertainty on foreign direct investment strategies. The paper follows …

In this paper we analyse the impact of policy uncertainty on foreign direct investment strategies. We also consider the …

This paper analyzes the impact of different types of barriers on the decision to invest using a simple framework based … not rely on the “smooth-pasting condition.” An application to MacDonald and Siegel’s canonical investment problem (1986 …) shows that the standard investment threshold over-estimates the optimal threshold when the lower barrier is absorbing and …

A decision maker tests whether the gradient of the loss function evaluated at a judgmental decision is zero. If the … test does not reject, the action is the judgmental decision. If the test rejects, the action sets the gradient equal to the … boundary of the rejection region. This statistical decision rule is admissible and conditions on the sample realization. The …