On Adjustment Costs, Profit Uncertainty and Investment Behavior

DOI10.1080/01966324.1987.10737220zbMATH Open0714.90027OpenAlexW2075926203WikidataQ58282913 ScholiaQ58282913MaRDI QIDQ3200860FDOQ3200860

Authors: Kevin Hastings, Sjur Didrik Flåm 

Publication date: 1987

Published in: American Journal of Mathematical and Management Sciences (Search for Journal in Brave)

Full work available at URL: https://doi.org/10.1080/01966324.1987.10737220

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zbMATH Keywords

Cobb-Douglas production functionoptimal investmentstochastic processcontinuous-timeconvex marginal adjustment costtrend-corrected jump processtrendless diffusion

Mathematics Subject Classification ID

Statistical methods; economic indices and measures (91B82) Applications of renewal theory (reliability, demand theory, etc.) (60K10) Production theory, theory of the firm (91B38) Economic growth models (91B62)

Cites Work

• Title not available (Why is that?)
• Title not available (Why is that?)
• A TEST OF GOODNESS OF FIT FOR SYMMETRIC RANDOM VARIABLES¹

Cited In (8)

• Adjustment costs and indeterminacy in perfect foresight models
• Investment and the dynamic cost of income uncertainty: the case of diminishing expectations in agriculture
• A dynamic factor demand model on gas firms: application of Itō's stochastic differential equation
• A decomposition of profit loss under output price uncertainty
• Impact of uncertainty in the quality of returns on the profitability of a single-period refurbishing operation
• Deterministic and stochastic dynamic adjustment of capital investment budgets
• Problems with identifying adjustment costs from regressions of investment on \(q\)
• Functional equivalence between intertemporal and multisectoral investment adjustment costs

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