This paper studies how managers plan under uncertainty. In a new survey panel on German manufacturing firms, we show … that uncertainty reflects change: Planning incorporates higher subjective uncertainty about future sales growth when the …, subjective uncertainty closely tracks conditional volatility of shocks: Both exhibit an asymmetric V-shaped relationship with …

The impact of uncertainty on firms' investment outlays is subject to an ongoing debate. Theory identifies several … channels. Irreversibility, financing constraints and risk aversion make a negative relationship between uncertainty and … investment likely. On the other hand, the ability of firms to adapt after uncertainty is resolved can make a risky strategy more …

The impact of uncertainty on firms' investment outlays is subject to an ongoing debate. Theory identifies several … channels. Irreversibility, financing constraints and risk aversion make a negative relationship between uncertainty and … investment likely. On the other hand, the ability of firms to adapt after uncertainty is resolved can make a risky strategy more …

differences in risk premia. We deduct testable hypotheses on the basis of which we empirically analyze the impact of uncertainty …We study a two-stage R&D project with an abandonment option. Two types of uncertainty influence the decision to start R …&D. Demand uncertainty is modelled as a lottery between a proportional increase and decrease in demand. Technical uncertainty is …

-contingent approach; Decision-making under uncertainty; State-contingent production analysis; Duality; Elicitation of the coefficient of … risk-aversion … geometrical interpretation of the coefficient of risk-aversion, which is intrinsic to the farmer, as well as an approach to infer …