Heydari, Somayeh; Siddiqui, Afzal - In: Energy Economics 32 (2010) 3, pp. 709-725
Energy prices are often highly volatile with unexpected spikes. Capturing these sudden spikes may lead to more informed decision-making in energy investments, such as valuing gas-fired power plants, than ignoring them. In this paper, non-linear regime-switching models and models with...