{"product_id":"real-options-valuation-max-schzine-9783658074920","title":"Real Options Valuation: The Importance of Stochastic Process Choice in Commodity Price Modelling","description":"The Author shows that modelling the uncertain cash flow dynamics of an investment project deserves careful attention in real options valuation. Focusing on the case of commodity price uncertainty, a broad empirical study reveals that, contrary to common assumptions, prices are often non-stationary and exhibit non-normally distributed returns. Subsequently, more realistic stochastic volatility, jump diffusion, and Lévy processes are evaluated in the context of a stylised investment project. The valuation results suggest that stochastic process choice can have substantial implications for valuation results and optimal investment rules.\u003cbr\u003e\u003cbr\u003e\u003cb\u003eAuthor:\u003c\/b\u003e Max Schöne\u003cbr\u003e\u003cb\u003eISBN-10:\u003c\/b\u003e 3658074922\u003cbr\u003e\u003cb\u003eISBN-13:\u003c\/b\u003e 9783658074920\u003cbr\u003e\u003cb\u003ePublisher:\u003c\/b\u003e Springer Gabler\u003cbr\u003e\u003cb\u003eLanguage:\u003c\/b\u003e English\u003cbr\u003e\u003cb\u003ePublished:\u003c\/b\u003e 10\/10\/2014\u003cbr\u003e\u003cb\u003ePages:\u003c\/b\u003e 104\u003cbr\u003e\u003cb\u003eFormat:\u003c\/b\u003e Paperback\u003cbr\u003e\u003cb\u003eWeight:\u003c\/b\u003e 0.37lbs\u003cbr\u003e\u003cb\u003eSize:\u003c\/b\u003e 8.27h x 5.83w x 0.28d","brand":"Max Schöne","offers":[{"title":"Paperback","offer_id":46721354072319,"sku":"9783658074920","price":84.99,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0662\/2982\/9887\/files\/img_3a246bc5-e0b5-4e93-bf75-297fd1d0d3be.jpg?v=1742752610","url":"https:\/\/www.whiterainbookhouse.com\/products\/real-options-valuation-max-schzine-9783658074920","provider":"WR Book House","version":"1.0","type":"link"}