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irreversibility for the timing of investment expenditures and their expected returns. This has subsequently stimulated a growing … this literature. A variety of methods have been used to investigate the empirical implication of irreversibility in … suggests that there is an irreversibility effect, under which greater uncertainty raises the value of the "option" to delay a …
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When economic agents decide their optimal environmental behavior, they have to take into account non continuos evolutionary trends and irreversible changes characterising environmental phenomena. Given the still non perfect biophysical and economic knowledge, decisions have to be taken in an...
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Environmental risks may comprise the most important policy-related application of the economics of risk and uncertainty. Many biases in risk assessment and regulation, such as the conservatism bias in risk assessment and the stringent regulation of synthetic chemicals, reflect a form of...
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degrees of investment irreversibility defined on the basis of market structures and access to secondary markets for capital … partial irreversibility. …
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This paper considers investments in cost-reducing technology in the context of contributions to climate protection. Contributions to mitigating climate change are analyzed in a two-period model where later contributions can be based on better information, but delaying the contribution to the...
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irreversibility of investment. As will be shown, the provision of public goods changes over time and also depends on the business …
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