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SOME CHARACTERISTICS OF INVESTMENT CRITERIA *
Author(s) -
Jensen R. C.
Publication year - 1969
Publication title -
journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.157
H-Index - 61
eISSN - 1477-9552
pISSN - 0021-857X
DOI - 10.1111/j.1477-9552.1969.tb01356.x
Subject(s) - profitability index , investment (military) , economics , scale (ratio) , business , finance , geography , political science , cartography , politics , law
Techniques of investment evaluatio and caost‐benefit analysis have occupied and increasingly important role in the armoury of the economist. Certain critetria have become established as traditional measures of “profitability” or desirability of investment opportunities. These criteria, however, exhibit some characteristics which are apparently not recognised by a number of analysis, but which are fundamental to proficient investment evaluation. This paper explains some of these characteristics under assumptions of varying scale, timing and rate of investmetn, and various financing conditions.