Corporate Investment Decisions with Switch Flexibility, Constraints, and Path-dependency
(2024)
Journal Article
Martzoukos, S., Trigeorgis, L., & Pospori, N. (2024). Corporate Investment Decisions with Switch Flexibility, Constraints, and Path-dependency. Review of Quantitative Finance and Accounting, 62(3), 1223-1250. https://doi.org/10.1007/s11156-023-01234-4
We model sequential, corporate investment decisions with time-to-build delays, operating scale mode switching, operating constraints, and path dependencies. We also account for stochastic salvage (abandonment) values that are utilization (path) depen... Read More about Corporate Investment Decisions with Switch Flexibility, Constraints, and Path-dependency.