Real options valuationReal options valuation, also often termed real options analysis, (ROV or ROA) applies option valuation techniques to capital budgeting decisions. A real option itself, is the right—but not the obligation—to undertake certain business initiatives, such as deferring, abandoning, expanding, staging, or contracting a capital investment project. For example, real options valuation could examine the opportunity to invest in the expansion of a firm's factory and the alternative option to sell the factory.
Nuclear fusionNuclear fusion is a reaction in which two or more atomic nuclei, usually deuterium and tritium (hydrogen variants), are combined to form one atomic nuclei and subatomic particles (neutrons or protons). The difference in mass between the reactants and products is manifested as either the release or absorption of energy. This difference in mass arises due to the difference in nuclear binding energy between the atomic nuclei before and after the reaction.
Fusion powerFusion power is a proposed form of power generation that would generate electricity by using heat from nuclear fusion reactions. In a fusion process, two lighter atomic nuclei combine to form a heavier nucleus, while releasing energy. Devices designed to harness this energy are known as fusion reactors. Research into fusion reactors began in the 1940s, but as of 2023, no device has reached net power. Fusion processes require fuel and a confined environment with sufficient temperature, pressure, and confinement time to create a plasma in which fusion can occur.
Inertial confinement fusionInertial confinement fusion (ICF) is a fusion energy process that initiates nuclear fusion reactions by compressing and heating targets filled with fuel. The targets are small pellets, typically containing deuterium (2H) and tritium (3H). Energy is deposited in the target's outer layer, which explodes outward. This produces a reaction force in the form of shock waves that travel through the target. The waves compress and heat it. Sufficiently powerful shock waves generate fusion.
Thermonuclear weaponA thermonuclear weapon, fusion weapon or hydrogen bomb (H bomb) is a second-generation nuclear weapon design. Its greater sophistication affords it vastly greater destructive power than first-generation nuclear bombs, a more compact size, a lower mass, or a combination of these benefits. Characteristics of nuclear fusion reactions make possible the use of non-fissile depleted uranium as the weapon's main fuel, thus allowing more efficient use of scarce fissile material such as uranium-235 () or plutonium-239 ().
Muon-catalyzed fusionMuon-catalyzed fusion (abbreviated as μCF or MCF) is a process allowing nuclear fusion to take place at temperatures significantly lower than the temperatures required for thermonuclear fusion, even at room temperature or lower. It is one of the few known ways of catalyzing nuclear fusion reactions. Muons are unstable subatomic particles which are similar to electrons but 207 times more massive. If a muon replaces one of the electrons in a hydrogen molecule, the nuclei are consequently drawn 196 times closer than in a normal molecule, due to the reduced mass being 196 times the mass of an electron.
Binomial options pricing modelIn finance, the binomial options pricing model (BOPM) provides a generalizable numerical method for the valuation of options. Essentially, the model uses a "discrete-time" (lattice based) model of the varying price over time of the underlying financial instrument, addressing cases where the closed-form Black–Scholes formula is wanting. The binomial model was first proposed by William Sharpe in the 1978 edition of Investments (), and formalized by Cox, Ross and Rubinstein in 1979 and by Rendleman and Bartter in that same year.
Option (finance)In finance, an option is a contract which conveys to its owner, the holder, the right, but not the obligation, to buy or sell a specific quantity of an underlying asset or instrument at a specified strike price on or before a specified date, depending on the style of the option. Options are typically acquired by purchase, as a form of compensation, or as part of a complex financial transaction.
ExternalityIn economics, an externality or external cost is an indirect cost or benefit to an uninvolved third party that arises as an effect of another party's (or parties') activity. Externalities can be considered as unpriced goods involved in either consumer or producer market transactions. Air pollution from motor vehicles is one example. The cost of air pollution to society is not paid by either the producers or users of motorized transport to the rest of society. Water pollution from mills and factories is another example.
Magnetic confinement fusionMagnetic confinement fusion is an approach to generate thermonuclear fusion power that uses magnetic fields to confine fusion fuel in the form of a plasma. Magnetic confinement is one of two major branches of fusion energy research, along with inertial confinement fusion. The magnetic approach began in the 1940s and absorbed the majority of subsequent development. Fusion reactions combine light atomic nuclei such as hydrogen to form heavier ones such as helium, producing energy.
