haku: @indexterm OPTION VALUATION / yhteensä: 37
viite: 7 / 37
| Tekijä: | Kassar, I. Lasserre, P. |
| Otsikko: | Species preservation and biodiversity value: a real options approach |
| Lehti: | Journal of Environmental Economics and Management
2004 : SEP, VOL. 48:2, p. 857-879 |
| Asiasana: | assets biodiversity conservation option valuation |
| Kieli: | eng |
| Tiivistelmä: | This paper discusses biodiversity in real options framework, when the resources are substitutable. The authors examine optimal conservation decisions given that a biodiversity loss is irreversible and that future use values are uncertain. A two-species homogenous model shows that increaesed volatility raises biodiversity value, and a positive correlation between species values both reduces the value of the pool of species and the value of biodiversity. Just like an asset with a negative Beta derives additional value by providing insurance against fluctuations in the market portfolio, a species whose value tends to move in the opposite direction as the species in use derives additional value from its higher probability to be available for substitution if the value of the species in use diminishes. |
SCIMA