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Reverse Hysteresis in R&D Investment by munozrolando is a document available to read on EtoBox.

1. The document analyzes optimal investment behavior for a firm conducting research and development (R&D) that faces both technological and economic uncertainty. 2. The optimal investment strategy consists of trigger points for when to invest in and abandon R&D projects. Unlike previous models, the abandonment trigger may occur when expected profits are still positive, a phenomenon called "reverse hysteresis." 3. The model incorporates both technological uncertainty in the discovery process and economic

Author
munozrolando
Language
EN