Using Real Options Pricing to Value Public R&D Investment in the Deep Seabed Manganese Nodule ProjectUsing Real Options Pricing to Value Public R&D Investment in the Deep Seabed Manganese Nodule Project
- Other Titles
- Using Real Options Pricing to Value Public R&D Investment in the Deep Seabed Manganese Nodule Project
- Authors
- 최효연; 유승훈; 곽승준
- Issue Date
- 2016
- Publisher
- 아시아기술혁신학회
- Keywords
- Real option pricing; compound option model; technology valuation; deep seabed manganese nodule project
- Citation
- Asian Journal of Innovation and Policy, v.5, no.2, pp.197 - 207
- Indexed
- KCI
OTHER
- Journal Title
- Asian Journal of Innovation and Policy
- Volume
- 5
- Number
- 2
- Start Page
- 197
- End Page
- 207
- URI
- https://scholar.korea.ac.kr/handle/2021.sw.korea/91301
- ISSN
- 2287-1608
- Abstract
- This paper seeks to measure the monetary value of technical development in the deep seabed manganese nodule mining by applying the compound option model (COM). The COM is appropriate for the project in terms of its decision-making structure and embedded uncertainty. The estimation results show that the deep seabed mining project has more economic potential than shown by the previously obtained results from the discounted cash flow (DCF) analysis. In addition, it is reasonable to invest in the project taking the various uncertainty factors into consideration, because the ratio of the value to the cost of the project is far higher than one. This information can be utilized in national ocean policy decision-making.
- Files in This Item
- There are no files associated with this item.
- Appears in
Collections - College of Political Science & Economics > Department of Economics > 1. Journal Articles
Items in ScholarWorks are protected by copyright, with all rights reserved, unless otherwise indicated.