Optimal Fisheries Investment under Uncertainty

1983 ◽  
Vol 40 (12) ◽  
pp. 2080-2091 ◽  
Author(s):  
Anthony T. Charles
Keyword(s):  
Optimal Investment ◽  
Fish Stock ◽  
Investment Strategies ◽  
Economic Optimization ◽  
Stock Management ◽  
Investment Under Uncertainty ◽  
Capital Costs ◽  
Wide Range ◽  
Full Analysis ◽  
Fishing Fleets

A full analysis of optimal fisheries investment strategies must take into account high levels of uncertainty in future fishery returns, as well as irreversibility of investment in specialized, nonmalleable fishing fleets. A stochastic optimization model is analyzed using dynamic programming to determine optimal policy functions for both fleet investment and fish stock management within an uncertain environment. The resulting policies are qualitatively similar to those found in the corresponding deterministic case, but quantitative differences can be substantial. Simulation results show that optimal fleet capacity should be expected to fluctuate over a fairly wide range, induced by stochastic variations in the biomass. However, the performance of a linear-cost risk-neutral fishery is fairly insensitive to variations in investment and escapement policies around their optimum levels, so that economic optimization is "forgiving" within this context. A framework of balancing upside and downside investment risks is used here to explain the roles of several fishery parameters in relation to optimal investment under uncertainty. In particular, the intrinsic growth rate of the resource and the ratio of unit capital costs to unit operating costs are found to be key parameters in determining whether investment should be higher or lower under uncertainty.

scholarly journals Modeling and Technical-Economic Optimization of Electricity Supply Network by Three Photovoltaic Systems

2019 ◽  
Author(s):  
Sahar Safarian ◽  
Pooya Khodaparast ◽  
Movaffaq Kateb
Keyword(s):  
Solar Energy ◽  
Optimal Investment ◽  
Supply System ◽  
Electricity Supply ◽  
Investment Strategies ◽  
Economic Optimization ◽  
Effective Parameters ◽  
Programming Techniques ◽  
The Many ◽  
System Configurations

To attain an ongoing electricity economy, developing novel widespread electricity supply systems based on diverse energy resources are critically important. Several photovoltaic (PV) technologies exist, which cause various pathways to produce electricity from solar energy. This paper evaluates the competition between three influential solar technologies based on photovoltaic technique to find the optimal pathways for satisfying the electricity demand: (1) multicrystalline silicon; (2) copper, indium, gallium, and selenium (CIGS); and (3) multijunction. Besides the technical factors, there are other effective parameters such as cost, operability, feasibility, and capacity that should be considered when assessing the different pathways as optimal and viable long-term alternatives. To aid this decision-making process, a generic optimization-based model was developed for the longrange energy planning and design of future electricity supply system from solar energy. By applying dynamic programming techniques, the model is capable of identifying the optimal investment strategies and integrated supply system configurations from the many alternatives. The features and capabilities of the model were shown through application to Iran as a case study.

scholarly journals Modeling and Technical-Economic Optimization of Electricity Supply Network by Three Photovoltaic Systems

2013 ◽  
Vol 136 (2) ◽  
Author(s):  
Sahar Safarian ◽  
Pooya Khodaparast ◽  
Movaffaq Kateb
Keyword(s):  
Solar Energy ◽  
Optimal Investment ◽  
Supply System ◽  
Electricity Supply ◽  
Investment Strategies ◽  
Economic Optimization ◽  
Effective Parameters ◽  
Programming Techniques ◽  
The Many ◽  
System Configurations

To attain an ongoing electricity economy, developing novel widespread electricity supply systems based on diverse energy resources are critically important. Several photovoltaic (PV) technologies exist, which cause various pathways to produce electricity from solar energy. This paper evaluates the competition between three influential solar technologies based on photovoltaic technique to find the optimal pathways for satisfying the electricity demand: (1) multicrystalline silicon; (2) copper, indium, gallium, and selenium (CIGS); and (3) multijunction. Besides the technical factors, there are other effective parameters such as cost, operability, feasibility, and capacity that should be considered when assessing the different pathways as optimal and viable long-term alternatives. To aid this decision-making process, a generic optimization-based model was developed for the long-range energy planning and design of future electricity supply system from solar energy. By applying dynamic programming techniques, the model is capable of identifying the optimal investment strategies and integrated supply system configurations from the many alternatives. The features and capabilities of the model were shown through application to Iran as a case study.

Ecosystem development in Lake Volkerak-Zoom: concept and strategy

1995 ◽  
Vol 31 (8) ◽  
pp. 239-243 ◽  
Author(s):  
W. Ligtvoet ◽  
S. A. de Jong
Keyword(s):  
Water Level ◽  
Fish Stock ◽  
Ecosystem Development ◽  
Optimal Conditions ◽  
Stock Management ◽  
Key Factors ◽  
Integrated Water Management ◽  
Ecological Concepts ◽  
Freshwater System ◽  
Water Level Management

In the 6000 ha Lake Volkerak-Zoom, a new freshwater system in the estuarine southwest of The Netherlands, biomanipulation is used as a tool in ecosystem development. The basic ecological concepts for ecosystem development are described. Key factors in the integrated water management are fish stock management and water level management, geared towards creating optimal conditions for northern pike, the dominant predator in mesotrophic waters. The main aspects of the water level management and the fish stock management are outlined.

Cost of Speed: Analysis of Capital Cost Estimates for High-Speed Ground Transportation Systems

1997 ◽  
Vol 1584 (1) ◽  
pp. 17-21
Author(s):  
John A. Harrison
Keyword(s):  
Los Angeles ◽  
High Speed ◽  
Capital Cost ◽  
Travel Times ◽  
Department Of Transportation ◽  
High Speed Rail ◽  
Cost Estimates ◽  
Capital Costs ◽  
Trip Time ◽  
Wide Range

The Intermodal Surface Transportation Efficiency Act of 1991 required the U.S. Department of Transportation to evaluate the commercial feasibility of high-speed ground transportation—a family of technologies ranging from incremental rail improvements to high-speed rail and magnetic levitation (Maglev) systems—in selected urban corridors. The evaluation involved estimating travel times, capital costs, operation and maintenance costs, and ridership for proposed service frequencies and then computing the potential return on investment from fares and other potential revenues. The results are documented in a U.S. Department of Transportation report generally referred to as the commercial feasibility study (CFS). Two elements of the CFS are addressed here: travel times and capital costs in four illustrative corridors—Chicago to St. Louis; Los Angeles to San Francisco; Eugene, Oreg., to Vancouver, B.C.; and Miami to Tampa via Orlando. Analysis of the results reveals common cost trends: for average speeds up to about 200 km/hr (125 mph), the initial investment required is generally in the range $1.6 to $3 million per route-kilometer ($2.6 to 4.8 million per route-mile). Above this speed regime (which varies by corridor), the initial investment increases steadily with speed, generally reaching $10 to $12 million per route-km ($16 to $19 million per route-mi) for very-high-speed rail systems and from $14 to $19 million per route-km ($23 to $31 million per route-mi) for Maglev systems. Analysis of the capital cost estimates reveals that despite the wide range of initial costs for the high-speed options, the cost per minute of trip time saved is remarkably consistent in corridors of similar length and with similar terrains. Cost-effectiveness plots are provided, allowing the reader to compare the performance of each of the four corridors in terms of trip time savings and cost per route-kilometer.

Optimal investment strategies for light duty vehicle and electricity generation sectors in a carbon constrained world

2016 ◽  
Vol 255 (1-2) ◽  
pp. 391-420 ◽  
Author(s):  
Boxiao Chen ◽  
Erica Klampfl ◽  
Margaret Strumolo ◽  
Yan Fu ◽  
Xiuli Chao ◽  
...  
Keyword(s):  
Electricity Generation ◽  
Optimal Investment ◽  
Investment Strategies ◽  
Light Duty ◽  
Light Duty Vehicle

scholarly journals Economic effort management in multispecies fisheries: the FcubEcon model

2010 ◽  
Vol 67 (8) ◽  
pp. 1802-1810 ◽  
Author(s):  
Ayoe Hoff ◽  
Hans Frost ◽  
Clara Ulrich ◽  
Dimitrios Damalas ◽  
Christos D. Maravelias ◽  
...  
Keyword(s):  
Single Species ◽  
Fish Stock ◽  
Economic Optimization ◽  
Management Tools ◽  
Management Framework ◽  
Fish Stocks ◽  
Effort Allocation ◽  
Multispecies Fisheries ◽  
The Past ◽  
Quota Management

Abstract Hoff, A., Frost, H., Ulrich, C., Damalas, D., Maravelias, C. D., Goti, L., and Santurtún, M. 2010. Economic effort management in multispecies fisheries: the FcubEcon model. – ICES Journal of Marine Science, 67: 1802–1810. Applying single-species assessment and quotas in multispecies fisheries can lead to overfishing or quota underutilization, because advice can be conflicting when different stocks are caught within the same fishery. During the past decade, increased focus on this issue has resulted in the development of management tools based on fleets, fisheries, and areas, rather than on unit fish stocks. A natural consequence of this has been to consider effort rather than quota management, a final effort decision being based on fleet-harvest potential and fish-stock-preservation considerations. Effort allocation between fleets should not be based on biological considerations alone, but also on the economic behaviour of fishers, because fisheries management has a significant impact on human behaviour as well as on ecosystem development. The FcubEcon management framework for effort allocation between fleets and fisheries is presented, based on the economic optimization of a fishery's earnings while complying with stock-preservation criteria. Through case studies of two European fisheries, it is shown how fishery earnings can be increased significantly by reallocating effort between fisheries in an economically optimal manner, in both effort-management and single-quota management settings.

On the Distribution of Terminal Wealth under Dynamic Mean-Variance Optimal Investment Strategies

2021 ◽  
Vol 12 (2) ◽  
pp. 566-603
Author(s):  
Pieter M. van Staden ◽  
Duy-Minh Dang ◽  
Peter A. Forsyth
Keyword(s):  
Optimal Investment ◽  
Investment Strategies ◽  
Terminal Wealth ◽  
Mean Variance

scholarly journals Does the Market Correctly Value Investment Options?*

2020 ◽  
Vol 24 (6) ◽  
pp. 1159-1201
Author(s):  
Evgeny Lyandres ◽  
Egor Matveyev ◽  
Alexei Zhdanov
Keyword(s):  
Stock Market ◽  
Real Options ◽  
Equity Markets ◽  
Optimal Investment ◽  
Investment Under Uncertainty ◽  
Innovative Firms ◽  
Public Equity

Abstract This paper shows that the stock market misprices firms’ investment options. We build a real options model of optimal investment under uncertainty to estimate the value of firms’ investment options. We show that firms with valuable investment options have a higher likelihood of being mispriced. Importantly, this mispricing is not one-sided, as such firms are equally likely to be undervalued or overvalued. Our paper adds to the debate on whether public equity markets are myopic and systematically undervalue innovative firms. We show that this is not necessarily the case.

Sign in / Sign up

Export Citation Format

Share Document