• Michael R. Hammock
  • J. Wilson Mixon


This chapter deals with implications of time for economic analysis. First, it analyzes investment, the implications of which span a number of time periods. The chapter considers cases in which costs and benefits occur at discrete intervals and cases in which they occur continuously. It also considers the implications of uncertainty for evaluating investments. The chapter closes with a dynamic market model, in which the implications of a sequence of single-period actions are considered.


Biomass Migration Income Drilling 


  1. 1.
    Dixit AK, Pindyck RS (1994) Investment under uncertainty. Princeton University Press, PrincetonGoogle Scholar
  2. 2.
    McAfee RP (2006) Introduction to economic analysis, version 2.0. http://www.introecon.com

Copyright information

© Springer Science+Business Media, LLC 2013

Authors and Affiliations

  • Michael R. Hammock
    • 1
  • J. Wilson Mixon
    • 2
  1. 1.Department of Economics and FinanceMiddle Tennessee State UniversityMurfreesboroUSA
  2. 2.Berry CollegeMount BerryUSA

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