IDEAS home Printed from
   My bibliography  Save this article

Inflation Influence About Investment Decision


  • Dorel Berceanu

    () (University of Craiova)

  • Anca Bandoi

    () (University of Craiova)


In this article, we are dealing with an issue very important as regards theinvestment decision, namely the influence that it has on inflation. Thus, in a brief introductionspotlighted how we have perceived inflation today, what it means and how it manifests itself.An ample space in the paper is dedicated manner of determining the net present value in thepresence of inflation, with an emphasis on the link between the real interest rate, the nominalinterest rate and the inflation rate. To be convincing in our approach we introduced in thelast part of the paper a case study in which we showed how affects inflation on investmentdecisions, in practical way.

Suggested Citation

  • Dorel Berceanu & Anca Bandoi, 2008. "Inflation Influence About Investment Decision," Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences, "1 Decembrie 1918" University, Alba Iulia, vol. 1(10), pages 1-33.
  • Handle: RePEc:alu:journl:v:1:y:2008:i:10:p:33

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. R. G. Vickson, 1975. "Stochastic Dominance Tests for Decreasing Absolute Risk Aversion. I. Discrete Random Variables," Management Science, INFORMS, vol. 21(12), pages 1438-1446, August.
    2. Vickson, R. G., 1975. "Stochastic Dominance for Decreasing Absolute Risk Aversion," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 10(05), pages 799-811, December.
    3. Dybvig, Philip H & Lippman, Steven A, 1983. "An Alternative Characterization of Decreasing Absolute Risk Aversion," Econometrica, Econometric Society, vol. 51(1), pages 223-224, January.
    Full references (including those not matched with items on IDEAS)

    More about this item


    investment; decision; inflation; cash flow;

    JEL classification:

    • G - Financial Economics


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:alu:journl:v:1:y:2008:i:10:p:33. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dan-Constantin Danuletiu). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.