Publicação
Optimal subsidies and guarantees in public–private partnerships
| Resumo: | In this paper, we analyse how certain subsidies and guarantees given to private firms in public–private partnerships should be optimally arranged to promote immediate investment in a real options framework. We show how an investment subsidy, a revenue subsidy, a minimum demand guarantee, and a rescue option could be optimally arranged to induce immediate investment, compensating for the value of the option to defer. These four types of incentives produce significantly different results when we compare the value of the project after the incentive structure is devised and also when we compare the timing of the resulting cash flows. |
|---|---|
| Autores principais: | Armada, Manuel José da Rocha |
| Outros Autores: | Pereira, Paulo J.; Rodrigues, Artur |
| Assunto: | Option to defer Public-private partnerships Early exercise Incentives |
| Ano: | 2012 |
| País: | Portugal |
| Tipo de documento: | artigo |
| Tipo de acesso: | acesso restrito |
| Instituição associada: | Universidade do Minho |
| Idioma: | inglês |
| Origem: | RepositóriUM - Universidade do Minho |
| _version_ | 1867438336044433408 |
|---|---|
| author | Armada, Manuel José da Rocha |
| author2 | Pereira, Paulo J. Rodrigues, Artur |
| author2_role | author author |
| author_facet | Armada, Manuel José da Rocha Pereira, Paulo J. Rodrigues, Artur |
| author_role | author |
| contributor_name_str_mv | RepositóriUM - Universidade do Minho |
| country_str | PT |
| creators_json_txt | [{\"Person.name\":\"Armada, Manuel José da Rocha\"},{\"Person.name\":\"Pereira, Paulo J.\"},{\"Person.name\":\"Rodrigues, Artur\"}] |
| datacite.contributors.contributor.contributorName.fl_str_mv | RepositóriUM - Universidade do Minho |
| datacite.creators.creator.creatorName.fl_str_mv | Armada, Manuel José da Rocha Pereira, Paulo J. Rodrigues, Artur |
| datacite.date.Accepted.fl_str_mv | 2012-01-01T00:00:00Z |
| datacite.date.available.fl_str_mv | 2012-12-10T15:12:43Z |
| datacite.date.embargoed.fl_str_mv | 2012-12-10T15:12:43Z |
| datacite.rights.fl_str_mv | http://purl.org/coar/access_right/c_16ec |
| datacite.subjects.subject.fl_str_mv | Option to defer Public-private partnerships Early exercise Incentives |
| datacite.titles.title.fl_str_mv | Optimal subsidies and guarantees in public–private partnerships |
| dc.contributor.none.fl_str_mv | RepositóriUM - Universidade do Minho |
| dc.creator.none.fl_str_mv | Armada, Manuel José da Rocha Pereira, Paulo J. Rodrigues, Artur |
| dc.date.Accepted.fl_str_mv | 2012-01-01T00:00:00Z |
| dc.date.available.fl_str_mv | 2012-12-10T15:12:43Z |
| dc.date.embargoed.fl_str_mv | 2012-12-10T15:12:43Z |
| dc.format.none.fl_str_mv | application/pdf |
| dc.identifier.none.fl_str_mv | https://hdl.handle.net/1822/21359 |
| dc.language.none.fl_str_mv | eng |
| dc.publisher.none.fl_str_mv | Taylor and Francis |
| dc.rights.none.fl_str_mv | http://purl.org/coar/access_right/c_16ec |
| dc.subject.none.fl_str_mv | Option to defer Public-private partnerships Early exercise Incentives |
| dc.title.fl_str_mv | Optimal subsidies and guarantees in public–private partnerships |
| dc.type.none.fl_str_mv | http://purl.org/coar/resource_type/c_6501 |
| description | In this paper, we analyse how certain subsidies and guarantees given to private firms in public–private partnerships should be optimally arranged to promote immediate investment in a real options framework. We show how an investment subsidy, a revenue subsidy, a minimum demand guarantee, and a rescue option could be optimally arranged to induce immediate investment, compensating for the value of the option to defer. These four types of incentives produce significantly different results when we compare the value of the project after the incentive structure is devised and also when we compare the timing of the resulting cash flows. |
| dirty | 0 |
| eu_rights_str_mv | restrictedAccess |
| format | article |
| fulltext.url.fl_str_mv | https://repositorium.uminho.pt/bitstreams/3c34ae14-1e3f-4f75-ae16-ef9372133096/download |
| id | rum_6358c04afedf30ea1df44f07f5dc17df |
| identifier.url.fl_str_mv | https://hdl.handle.net/1822/21359 |
| instacron_str | repositorium |
| institution | Universidade do Minho |
| instname_str | Universidade do Minho |
| language | eng |
| network_acronym_str | rum |
| network_name_str | RepositóriUM - Universidade do Minho |
| oai_identifier_str | oai:repositorium.uminho.pt:1822/21359 |
| organization_str_mv | urn:organizationAcronym:repositorium |
| person_str_mv | Armada, Manuel José da Rocha Pereira, Paulo J. Rodrigues, Artur |
| publishDate | 2012 |
| publisher.none.fl_str_mv | Taylor and Francis |
| reponame_str | RepositóriUM - Universidade do Minho |
| repository_id_str | urn:repositoryAcronym:rum |
| service_str_mv | urn:repositoryAcronym:rum |
| spelling | engTaylor and FrancisporIn this paper, we analyse how certain subsidies and guarantees given to private firms in public–private partnerships should be optimally arranged to promote immediate investment in a real options framework. We show how an investment subsidy, a revenue subsidy, a minimum demand guarantee, and a rescue option could be optimally arranged to induce immediate investment, compensating for the value of the option to defer. These four types of incentives produce significantly different results when we compare the value of the project after the incentive structure is devised and also when we compare the timing of the resulting cash flows.application/pdfporOptimal subsidies and guarantees in public–private partnershipsArmada, Manuel José da RochaPereira, Paulo J.Rodrigues, ArturHostingInstitutionOrganizationalRepositóriUM - Universidade do Minhoe-mailmailto:repositorium@usdb.uminho.ptrepositorium@usdb.uminho.ptISSNIsPartOf1351-847XDOIIsPartOf10.1080/1351847X.2011.6397892012-12-10T15:12:43Z20122012-01-01T00:00:00ZHandlehttps://hdl.handle.net/1822/21359http://purl.org/coar/access_right/c_16ecrestricted accessOption to deferPublic-private partnershipsEarly exerciseIncentives816383 bytesliteraturehttp://purl.org/coar/resource_type/c_6501journal articlehttp://purl.org/coar/access_right/c_16ecapplication/pdffulltexthttps://repositorium.uminho.pt/bitstreams/3c34ae14-1e3f-4f75-ae16-ef9372133096/download |
| spellingShingle | Optimal subsidies and guarantees in public–private partnerships Armada, Manuel José da Rocha Option to defer Public-private partnerships Early exercise Incentives |
| status | SINGLETON |
| subject.fl_str_mv | Option to defer Public-private partnerships Early exercise Incentives |
| title | Optimal subsidies and guarantees in public–private partnerships |
| title_full | Optimal subsidies and guarantees in public–private partnerships |
| title_fullStr | Optimal subsidies and guarantees in public–private partnerships |
| title_full_unstemmed | Optimal subsidies and guarantees in public–private partnerships |
| title_short | Optimal subsidies and guarantees in public–private partnerships |
| title_sort | Optimal subsidies and guarantees in public–private partnerships |
| topic | Option to defer Public-private partnerships Early exercise Incentives |
| topic_facet | Option to defer Public-private partnerships Early exercise Incentives |
| url | https://hdl.handle.net/1822/21359 |
| visible | 1 |