논문목차

논문목차

Investment Option Game for Controlling Global Stock Pollution under Uncertainty
  • Author
    Hojeong Park (Korea University)
  • Year
    2011
  • Volume
    Vol.27
  • Number
    No.1
  • Stock pollution involves a tradeoff between irreversible environmental impacts and
    investment costs. Such a tradeoff creates opposing incentives between early- and late-policy
    adoptions to reduce stock pollution emissions. Earlier studies consider the effects of the
    uncertainty of environmental impacts on investment timing. This paper extends these studies
    by considering interactions between two players in order to abate stock pollution. When the
    uncertainty of environmental damage exists, the absence of cooperative policy may result in
    further environmental damage because the irreversibility of investments dominates that of
    environmental damages.
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