| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 985597 | Resource and Energy Economics | 2011 | 8 Pages |
Abstract
Two papers of Pindyck, 2000 and Pindyck, 2002 that modeled the control of stock pollutants as optimal stopping problems contained closed form solutions that are incorrect. This paper discusses a subtle error in the derivation and demonstrates how solutions to these and related problems can be obtained numerically. The numerical solutions are contrasted with the ones contained in Pindyck's original papers.
Related Topics
Physical Sciences and Engineering
Energy
Energy (General)
Authors
Metin Balikcioglu, Paul L. Fackler, Robert S. Pindyck,