Sharing Risk Through Concession Contracts

In this paper we model concession contracts between a public and a private party, under dynamic uncertainty arising both from the volatility of the cash flow generated by the project and by the strategic behaviour of the two parties. Under these conditions we derive three notions of equilibrium price and apply the model to a case study for one of the most important concession contracts in Italy.

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Year of publication:	2010-05-28
Authors:	Scandizzo, Pasquale Lucio ; Ventura, Marco
Institutions:	Centro di Studi Internazionali Sull'Economia e la Sviluppo (CEIS), Facoltà di Economia
Subject:	(S) uncertainty modelling \| real option \| (B) transportation \| (P) risk analysis \| concession contract

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Extent:	application/pdf
Series:	CEIS Research Paper.
Type of publication:	Book / Working Paper
Language:	English
Notes:	Number 166 16 pages
Classification:	D81 - Criteria for Decision-Making under Risk and Uncertainty ; L91 - Transportation: General ; L50 - Regulation and Industrial Policy. General
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008498343