Decision-making Method for Low-rent Housing Construction Investment

DOI

10.2991/iccet-15.2015.84How to use a DOI?

Keywords

Developers, Government, Low-rent housing, Multi-stage, Option game

Abstract

The paper sets up a investment decision-making model with the option game thinking. First, based on the option game features low-rent housing projects have, the paper proposes some research hypotheses on value, benefits, costs for the options. Second, on the basis of the decision-making path of a multi-stage binary tree model, respectively for the government and developers, the paper builds utility functions, cost-input models and decision-making models of the contract period. It indicates that by the use of growth options in the shortened contract period, developers can still ensure the quality of low-rent housing construction. Finally, the validity of the model in the low-rent housing agreement and the investment decision-making process is verified by the case analysis.

Copyright

© 2015, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Wei Zhang
AU  - Liwen You
PY  - 2015/11
DA  - 2015/11
TI  - Decision-making Method for Low-rent Housing Construction Investment
BT  - Proceedings of the 5th International Conference on Civil Engineering and Transportation 2015
PB  - Atlantis Press
SP  - 447
EP  - 451
SN  - 2352-5401
UR  - https://doi.org/10.2991/iccet-15.2015.84
DO  - 10.2991/iccet-15.2015.84
ID  - Zhang2015/11
ER  -