{"id":"https://openalex.org/W2007453248","doi":"https://doi.org/10.1111/1468-0297.00426","title":"A Markup Interpretation of Optimal Investment Rules","display_name":"A Markup Interpretation of Optimal Investment Rules","publication_year":1999,"publication_date":"1999-04-01","ids":{"openalex":"https://openalex.org/W2007453248","doi":"https://doi.org/10.1111/1468-0297.00426","mag":"2007453248"},"language":"en","primary_location":{"id":"doi:10.1111/1468-0297.00426","doi":"https://doi.org/10.1111/1468-0297.00426","is_oa":false,"landing_page_url":"https://doi.org/10.1111/1468-0297.00426","pdf_url":null,"source":{"id":"https://openalex.org/S45992627","display_name":"The Economic Journal","issn_l":"0013-0133","issn":["0013-0133","1468-0297","1742-0350"],"is_oa":false,"is_in_doaj":false,"is_core":true,"listed_in":["abdc-a-star","anvur-class-a","anvur-scientific","cwts-core","erih-plus","jufo-3","norway-2","poland-200","russia-white-list-1","vabb-shw"],"host_organization":"https://openalex.org/P4310311648","host_organization_name":"Oxford University Press","host_organization_lineage":["https://openalex.org/P4310311648","https://openalex.org/P4310311647"],"host_organization_lineage_names":["Oxford University Press","University of Oxford"],"type":"journal"},"license":null,"license_id":null,"version":"publishedVersion","is_accepted":true,"is_published":true,"raw_source_name":"The Economic Journal","raw_type":"journal-article"},"volume":null,"type":"article","indexed_in":["crossref"],"open_access":{"is_oa":false,"oa_status":"closed","oa_url":null,"any_repository_has_fulltext":false},"authorships":[{"author_position":"first","author":{"id":"https://openalex.org/A5047082746","display_name":"Avinash K. Dixit","orcid":"https://orcid.org/0000-0002-8929-7503","observed_orcids":["https://orcid.org/0000-0002-8929-7503"]},"institutions":[{"id":"https://openalex.org/I20089843","display_name":"Princeton University","ror":"https://ror.org/00hx57361","country_code":"US","type":"education","lineage":["https://openalex.org/I20089843"]}],"countries":["US"],"is_corresponding":false,"raw_author_name":"Avinash Dixit","raw_affiliation_strings":["Princeton University","Princeton University#TAB#"],"raw_orcid":null,"affiliations":[{"raw_affiliation_string":"Princeton University","institution_ids":["https://openalex.org/I20089843"]},{"raw_affiliation_string":"Princeton University#TAB#","institution_ids":["https://openalex.org/I20089843"]}]},{"author_position":"middle","author":{"id":"https://openalex.org/A5043753481","display_name":"Robert S. Pindyck","orcid":"https://orcid.org/0000-0001-8296-9875","observed_orcids":["https://orcid.org/0000-0001-8296-9875"]},"institutions":[{"id":"https://openalex.org/I63966007","display_name":"Massachusetts Institute of Technology","ror":"https://ror.org/042nb2s44","country_code":"US","type":"education","lineage":["https://openalex.org/I63966007"]}],"countries":["US"],"is_corresponding":false,"raw_author_name":"Robert S. Pindyck","raw_affiliation_strings":["Massachusetts Institute of Technology"],"raw_orcid":null,"affiliations":[{"raw_affiliation_string":"Massachusetts Institute of Technology","institution_ids":["https://openalex.org/I63966007"]}]},{"author_position":"last","author":{"id":"https://openalex.org/A5072201152","display_name":"Sigbj\u00f8rn S\u00f8dal","orcid":null,"observed_orcids":[]},"institutions":[],"countries":[],"is_corresponding":false,"raw_author_name":"Sigbj\u00f8rn S\u00f8dal","raw_affiliation_strings":["Agder College, Norway"],"raw_orcid":null,"affiliations":[{"raw_affiliation_string":"Agder College, Norway","institution_ids":[]}]}],"institutions":[],"countries_distinct_count":1,"institutions_distinct_count":2,"corresponding_author_ids":[],"corresponding_institution_ids":[],"apc_list":{"value":3384,"currency":"GBP","value_usd":4463},"apc_paid":null,"fwci":4.1273,"has_fulltext":false,"cited_by_count":96,"citation_normalized_percentile":{"value":0.94463837,"is_in_top_1_percent":false,"is_in_top_10_percent":true},"cited_by_percentile_year":{"min":88,"max":99},"biblio":{"volume":"109","issue":"455","first_page":"179","last_page":"189"},"is_retracted":false,"is_paratext":false,"is_xpac":false,"primary_topic":{"id":"https://openalex.org/T11976","display_name":"Capital Investment and Risk Analysis","score":1.0,"subfield":{"id":"https://openalex.org/subfields/2003","display_name":"Finance"},"field":{"id":"https://openalex.org/fields/20","display_name":"Economics, Econometrics and Finance"},"domain":{"id":"https://openalex.org/domains/2","display_name":"Social Sciences"}},"topics":[{"id":"https://openalex.org/T11976","display_name":"Capital Investment and Risk Analysis","score":1.0,"subfield":{"id":"https://openalex.org/subfields/2003","display_name":"Finance"},"field":{"id":"https://openalex.org/fields/20","display_name":"Economics, Econometrics and Finance"},"domain":{"id":"https://openalex.org/domains/2","display_name":"Social Sciences"}},{"id":"https://openalex.org/T10067","display_name":"Stochastic processes and financial applications","score":0.0,"subfield":{"id":"https://openalex.org/subfields/2003","display_name":"Finance"},"field":{"id":"https://openalex.org/fields/20","display_name":"Economics, Econometrics and Finance"},"domain":{"id":"https://openalex.org/domains/2","display_name":"Social Sciences"}},{"id":"https://openalex.org/T10393","display_name":"Economic Growth and Productivity","score":0.0,"subfield":{"id":"https://openalex.org/subfields/2002","display_name":"Economics and Econometrics"},"field":{"id":"https://openalex.org/fields/20","display_name":"Economics, Econometrics and Finance"},"domain":{"id":"https://openalex.org/domains/2","display_name":"Social Sciences"}}],"keywords":[{"id":"https://openalex.org/keywords/optimal-investment-timing","display_name":"optimal investment timing","score":0.9229999780654907},{"id":"https://openalex.org/keywords/sunk-costs","display_name":"sunk costs","score":0.722000002861023},{"id":"https://openalex.org/keywords/cost-plus-pricing","display_name":"cost-plus pricing","score":0.4950000047683716},{"id":"https://openalex.org/keywords/elasticity","display_name":"elasticity","score":0.6100000143051147},{"id":"https://openalex.org/keywords/net-present-value","display_name":"net present value","score":0.5759999752044678},{"id":"https://openalex.org/keywords/investment-rules","display_name":"investment rules","score":0.3310000002384186},{"id":"https://openalex.org/keywords/price-setting","display_name":"price setting","score":0.3319999873638153}],"concepts":[{"id":"https://openalex.org/C45874996","wikidata":"https://www.wikidata.org/wiki/Q37045","display_name":"Markup language","level":3,"score":0.8682924509048462},{"id":"https://openalex.org/C162324750","wikidata":"https://www.wikidata.org/wiki/Q8134","display_name":"Economics","level":0,"score":0.7224931716918945},{"id":"https://openalex.org/C79179835","wikidata":"https://www.wikidata.org/wiki/Q958242","display_name":"Sunk costs","level":2,"score":0.6502827405929565},{"id":"https://openalex.org/C27548731","wikidata":"https://www.wikidata.org/wiki/Q88272","display_name":"Investment (military)","level":3,"score":0.6481038331985474},{"id":"https://openalex.org/C66887028","wikidata":"https://www.wikidata.org/wiki/Q382444","display_name":"Marginal cost","level":2,"score":0.6078843474388123},{"id":"https://openalex.org/C175444787","wikidata":"https://www.wikidata.org/wiki/Q39072","display_name":"Microeconomics","level":1,"score":0.598084568977356},{"id":"https://openalex.org/C527412718","wikidata":"https://www.wikidata.org/wiki/Q855395","display_name":"Interpretation (philosophy)","level":2,"score":0.5036353468894958},{"id":"https://openalex.org/C144237770","wikidata":"https://www.wikidata.org/wiki/Q747534","display_name":"Mathematical economics","level":1,"score":0.4060012996196747},{"id":"https://openalex.org/C149782125","wikidata":"https://www.wikidata.org/wiki/Q160039","display_name":"Econometrics","level":1,"score":0.39711958169937134},{"id":"https://openalex.org/C41008148","wikidata":"https://www.wikidata.org/wiki/Q21198","display_name":"Computer science","level":0,"score":0.15791937708854675},{"id":"https://openalex.org/C8797682","wikidata":"https://www.wikidata.org/wiki/Q2115","display_name":"XML","level":2,"score":0.06635361909866333},{"id":"https://openalex.org/C17744445","wikidata":"https://www.wikidata.org/wiki/Q36442","display_name":"Political science","level":0,"score":0.0},{"id":"https://openalex.org/C199360897","wikidata":"https://www.wikidata.org/wiki/Q9143","display_name":"Programming language","level":1,"score":0.0},{"id":"https://openalex.org/C199539241","wikidata":"https://www.wikidata.org/wiki/Q7748","display_name":"Law","level":1,"score":0.0},{"id":"https://openalex.org/C94625758","wikidata":"https://www.wikidata.org/wiki/Q7163","display_name":"Politics","level":2,"score":0.0},{"id":"https://openalex.org/C111919701","wikidata":"https://www.wikidata.org/wiki/Q9135","display_name":"Operating system","level":1,"score":0.0}],"mesh":[],"locations_count":1,"locations":[{"id":"doi:10.1111/1468-0297.00426","doi":"https://doi.org/10.1111/1468-0297.00426","is_oa":false,"landing_page_url":"https://doi.org/10.1111/1468-0297.00426","pdf_url":null,"source":{"id":"https://openalex.org/S45992627","display_name":"The Economic Journal","issn_l":"0013-0133","issn":["0013-0133","1468-0297","1742-0350"],"is_oa":false,"is_in_doaj":false,"is_core":true,"listed_in":["abdc-a-star","anvur-class-a","anvur-scientific","cwts-core","erih-plus","jufo-3","norway-2","poland-200","russia-white-list-1","vabb-shw"],"host_organization":"https://openalex.org/P4310311648","host_organization_name":"Oxford University Press","host_organization_lineage":["https://openalex.org/P4310311648","https://openalex.org/P4310311647"],"host_organization_lineage_names":["Oxford University Press","University of Oxford"],"type":"journal"},"license":null,"license_id":null,"version":"publishedVersion","is_accepted":true,"is_published":true,"raw_source_name":"The Economic Journal","raw_type":"journal-article"}],"best_oa_location":null,"sustainable_development_goals":[],"sustainable_development_goals_aurora":[],"study_designs":[],"awards":[],"funders":[],"has_content":{"pdf":false,"grobid_xml":false},"content_urls":null,"referenced_works_count":7,"referenced_works":["https://openalex.org/W1520834119","https://openalex.org/W1985018066","https://openalex.org/W1995503011","https://openalex.org/W2010997253","https://openalex.org/W2033739349","https://openalex.org/W2131802419","https://openalex.org/W2249810233"],"related_works":["https://openalex.org/W7097595833","https://openalex.org/W7096335494","https://openalex.org/W2461190401","https://openalex.org/W2907637316","https://openalex.org/W3121253133","https://openalex.org/W2123006213","https://openalex.org/W2086736535","https://openalex.org/W7067302210","https://openalex.org/W4389614361","https://openalex.org/W7098842935"],"abstract_inverted_index":{"We":[0,61],"re\u2010examine":[1],"the":[2,44,48,63,77,81],"basic":[3],"investment":[4,22,65],"problem":[5],"of":[6,51,88],"deciding":[7],"when":[8],"to":[9,14,43],"incur":[10],"a":[11,16,25,28,31,52,56,68,84],"sunk":[12],"cost":[13],"obtain":[15],"stochastically":[17],"fluctuating":[18],"benefit.":[19],"The":[20],"optimal":[21,64,86],"rule":[23,66],"satisfies":[24],"trade\u2010off":[26,39,46],"between":[27],"larger":[29],"versus":[30],"later":[32],"net":[33],"benefit;":[34],"we":[35],"show":[36],"that":[37,54,74],"this":[38],"is":[40,94],"closely":[41],"analogous":[42],"standard":[45],"for":[47,83],"pricing":[49],"decision":[50],"firm":[53],"faces":[55],"downward":[57],"sloping":[58],"demand":[59],"curve.":[60],"reinterpret":[62],"as":[67,80],"markup":[69,87],"formula":[70,82],"involving":[71],"an":[72],"elasticity":[73],"has":[75],"exactly":[76],"same":[78],"form":[79],"firm's":[85],"price":[89],"over":[90],"marginal":[91],"cost.":[92],"This":[93],"illustrated":[95],"with":[96],"several":[97],"examples.":[98]},"counts_by_year":[{"year":2025,"cited_by_count":1},{"year":2023,"cited_by_count":3},{"year":2022,"cited_by_count":3},{"year":2021,"cited_by_count":1},{"year":2020,"cited_by_count":8},{"year":2019,"cited_by_count":1},{"year":2018,"cited_by_count":2},{"year":2017,"cited_by_count":2},{"year":2016,"cited_by_count":5},{"year":2015,"cited_by_count":1},{"year":2014,"cited_by_count":5},{"year":2013,"cited_by_count":5},{"year":2012,"cited_by_count":3}],"updated_date":"2026-10-12T09:40:04.860316","created_date":"2016-06-24T00:00:00"}