Investment under Uncertainty, Coalition Spillovers and Market Evolution in a Game Theoretic Perspective / Edition 1

by J.H.H Thijssen

Overview

Two crucial aspects of economic reality are uncertainty and dynamics. In this book, new models and techniques are developed to analyse economic dynamics in an uncertain environment. In the first part, investment decisions of firms are analysed in a framework where imperfect information regarding the investment's profitability is obtained randomly over time. In the second part, a new class of cooperative games, spillover games, is developed and applied to a particular investment problem under uncertainty: mergers. In the third part, the effect of bounded rationality on market evolution is analysed for oligopolistic competition and incomplete financial markets.

Product Details

ISBN-13:	9781402078774
Publisher:	Springer US
Publication date:	11/15/1988
Series:	Theory and Decision Library C , #35
Edition description:	2004
Pages:	252
Product dimensions:	6.14(w) x 9.21(h) x 0.36(d)

Table of Contents

Mathematical Preliminaries.- Investment, Strategy, and Uncertainty.- The Effect of Information Streams on Capital Budgeting Decisions.- Symmetric Equilibria in Game Theoretic Real Option Models.- The Effects of Information on Strategic Investment.- Cooperation, Spillovers, and Investment.- Spillovers and Strategic Cooperative Behaviour.- The Timing of Vertical Mergers Under Uncertainty.- Bounded Rationality and Market Evolution.- Multi-Level Evolution in Cournot Oligopoly.- Evolution of Conjectures in Cournot Oligopoly.- Bounded Rationality in a Finance Economy with Incomplete Markets.