This paper considers optimal investment behaviour when investment options evolve deterministically or stochastically over time and investments are irreversible and indivisible. It extends the standard investment-under-uncertainty set-up with a single investment option to the case of repeated...

Foreign-owned firms are often hypothesized to generate productivity quot;spilloversquot; to the host country, but both theoretical micro-foundations and empirical evidence for this are limited. We develop a heterogeneous-firm model in which ex-ante identical workers learn from their employers in...

Improving information about individual opportunity costs of deforestation agents has the potential to increase the efficiency of REDD when it takes the form of a payment for environmental services scheme. However, objectives pursued in REDD projects may vary across policy makers. Within a...

In 1989 the Danish Parliament announced it an official goal of the forest policy to double the Danish forest area in 60-100 years. One of the goals of this policy was to improve the recreational possibilities for the urban population. Therefore focus has been on furthering public afforestation...

A key prerequisite to ensure that payment for ecosystem services is effective is that the management measures landowners are paid to undertake are in fact additional to the status quo and hence bring about a change in provision.

Stated preference studies tell respondents that policies create environmental changes with varying levels of uncertainty. However, respondents may include their own a priori assessments of uncertainty when making choices among policy options. Using a choice experiment eliciting...

Future climate development and its effects on forest ecosystems are not easily predicted or described in terms of standard probability concepts. Nevertheless, forest managers continuously make long-term decisions that will be subject to climate change impacts. The manager's assessment of...

In this short paper I analyse the development of returns to forest land in Denmark for the period 1947 to 2007. The data used are fairly unique time series of forest enterprises annual accounts in combination with property value assessments over the entire period. They allow for a dissection of...