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Mathematical Models and Computer Simulations

, Volume 2, Issue 1, pp 33–45 | Cite as

The estimation of the yield of investment projects under uncertain conditions

  • M. P. Vashchenko
Article
  • 28 Downloads

Abstract

This paper covers the methods for assessing the yield of investment projects. In this article, I consider the modified Cantor-Lipman model, which takes into account the probability of a crisis in the investments market and its impact on investor behavior. In such a formulation, the problem is reduced to the Belman equation. However, I cannot solve this equation for the general case. I investigate the case when a cautious investment strategy, which avoids bankruptcy, is the optimum strategy. In this case, the task of researching a dynamic system, based on a cautious strategy of the investor, is carried out. This paper concentrates on studying the trajectories of a system of balanced growth and the lower bound of the capital growth of the investor is estimated.

Keywords

Investment Project Internal Rate Economical Dynamics Capital Growth Balance Growth 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Pleiades Publishing, Ltd. 2010

Authors and Affiliations

  • M. P. Vashchenko
    • 1
  1. 1.Moscow State UniversityMoscowRussia

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