Option gambling between manufacturers in pollution treatment technology investment decisions under tradable emissions permits and technical uncertainty

Author

Yongxi, Yi ; Jun, Li

Author_Institution

Coll. of Econ. & Manage., NanHua Univ., Hengyang, China

fYear

2011

fDate

8-10 Aug. 2011

Firstpage

5

Lastpage

8

Abstract

Manufacturers pursuing profit maximization must decide whether and when to carry on the anti-pollution technology investment under the condition of tradable emissions permits and technical uncertainty, based on the real options theory we have constructed the pollution government technology investment strategy option gambling model and given the best opportunity of manufacturers to carry on pollution government technology investment.

Keywords

pollution control; profitability; antipollution technology investment; option gambling; pollution government technology investment strategy; pollution treatment technology investment decisions; profit maximization; real option theory; technical uncertainty; tradable emissions permits; Environmentally friendly manufacturing techniques; Equations; Government; Investments; Mathematical model; Pollution; Uncertainty; Option gambling; Technical uncertainty; Tradable Emissions Permits;

fLanguage

English

Publisher

ieee

Conference_Titel

Artificial Intelligence, Management Science and Electronic Commerce (AIMSEC), 2011 2nd International Conference on

Conference_Location

Deng Leng

Print_ISBN

978-1-4577-0535-9

Type

conf

DOI

10.1109/AIMSEC.2011.6010194

Filename

6010194