Arbeitspapier
The timing of repeated and unrepeated monopoly investment under wear and tear and demand growth
In an intertemporal model, we analyze the timing of irreversible and lumpy monopoly investment under certainty. There are two reasons for investing, i.e. wear and tear leading to replacement investment and demand growth leading to expansion investment. Both in a single investment setting and in a repeated investment setting, we find that a firm maximizing discounted social welfare invests earlier than an identical firm maximizing discounted profits. The investment date of an identical firm maximizing a discounted convex combination of social welfare and profits lies between these polar cases. All results apply both to replacement investment and to expansion investment.
- Sprache
-
Englisch
- Erschienen in
-
Series: Bremen Energy Working Papers ; No. 08
- Klassifikation
-
Wirtschaft
Market Structure, Pricing, and Design: Monopoly
Financial Economics: General
Firm Objectives, Organization, and Behavior: General
- Thema
-
Expansion investment
Investment timing
Monopoly
Repeated investment
Replacement investment
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Borrmann, Jörg
Brunekreeft, Gert
- Ereignis
-
Veröffentlichung
- (wer)
-
Jacobs University Bremen, Bremer Energie Institut
- (wo)
-
Bremen
- (wann)
-
2011
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:41 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Borrmann, Jörg
- Brunekreeft, Gert
- Jacobs University Bremen, Bremer Energie Institut
Entstanden
- 2011
Ähnliche Objekte (12)
Local public infrastructure showing signs of wear and tear
Local public infrastructure showing signs of wear and tear
The Wear and Tear on Health: What is the Role of Occupation?
Girl on Fire – Links between sex, firefighters’ clothing, safety, confidence and wear and tear
Girl on Fire – Links between sex, firefighters’ clothing, safety, confidence and wear and tear
Inventions, patents and monopoly
Competition, Monopoly, and Aftermarkets
Accumulation of wear and tear in archival and library collections. Part II: an epidemiological study
Monopoly, Quality, and Network Externalities
Monopoly innovation and welfare effects
Loyalty rewards and monopoly pricing
Fare Evasion and Monopoly Regulation
Local public infrastructure showing signs of wear and tear
Local public infrastructure showing signs of wear and tear
The Wear and Tear on Health: What is the Role of Occupation?
Girl on Fire – Links between sex, firefighters’ clothing, safety, confidence and wear and tear
Girl on Fire – Links between sex, firefighters’ clothing, safety, confidence and wear and tear
Inventions, patents and monopoly
Competition, Monopoly, and Aftermarkets
Accumulation of wear and tear in archival and library collections. Part II: an epidemiological study
Monopoly, Quality, and Network Externalities
Monopoly innovation and welfare effects
Loyalty rewards and monopoly pricing
Fare Evasion and Monopoly Regulation
Local public infrastructure showing signs of wear and tear
Local public infrastructure showing signs of wear and tear
The Wear and Tear on Health: What is the Role of Occupation?
Girl on Fire – Links between sex, firefighters’ clothing, safety, confidence and wear and tear
Girl on Fire – Links between sex, firefighters’ clothing, safety, confidence and wear and tear
Inventions, patents and monopoly
Competition, Monopoly, and Aftermarkets
Accumulation of wear and tear in archival and library collections. Part II: an epidemiological study
Monopoly, Quality, and Network Externalities
Monopoly innovation and welfare effects
Loyalty rewards and monopoly pricing