Optimal production and portfolio investment decisions

Yoram Landskroner*

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

Abstract

This paper takes a further step towards the integration of the theories of production and finance under uncertainty. It sets up a continuous time‐diffusion process model of production by firms and portfolio investment by individuals and provides a simultaneous solution to these two decisions. The derived equilibrium conditions, being in the stockholders' interest, are specific in form, and are determined by two factors: attitudes of investors towards risk and the systematic risks of the firm.

Original languageEnglish
Pages (from-to)221-225
Number of pages5
JournalManagerial and Decision Economics
Volume9
Issue number3
DOIs
StatePublished - Sep 1988

Fingerprint

Dive into the research topics of 'Optimal production and portfolio investment decisions'. Together they form a unique fingerprint.

Cite this