The determination of timing and technology level of an abatement investment

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Title:	The determination of timing and technology level of an abatement investment
Authors:	Chen, Miao-sheng;Chen, Chung-chiang
Contributors:	淡江大學經營決策學系
Keywords:	Abatement;emission standard;technology level
Date:	1998
Issue Date:	2009-11-30 12:24:25 (UTC+8)
Publisher:	University of Belgrade, Faculty of Organizational Sciences Laboratory for Operations Research
Abstract:	The main contribution of this paper is to reveal WHEN firms, in general, invest in anti-pollution equipment and WHAT technology level they adopt. Their responsive behaviour toward the policy parameters such as observation probability, interest rate or penalty, and endogenous factors such as operating cost and emission volume is analyzed in this paper. The results show that an increase in observation probability leads to an increase in technology level and moves the schedule of abatement investment ahead. However, an increase in interest rate results in a decrease in technology level and delays the timing of abatment investment.
Relation:	Yugoslav Journal of Operations Research 8(2), pp.257-271
Appears in Collections:	[Department of Management Sciences] Journal Article

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