Citation

Weston PJ. Def. Peace Econ. 1996; 7(4): 313-324.

Copyright

(Copyright © 1996, Informa - Taylor and Francis Group)

DOI

10.1080/10430719608404860

PMID

unavailable

Abstract

Central to the changes in UK Ministry of Defence procurement policies over recent years has been the attempt to shift risk out of the public sector. In the context of research and development this has taken the form of encouraging private venture investment, so-called PVR&D. Recognising that the scope for PVR&D is necessarily constrained by excessive risk and imperfect information, this paper explores the possible use of Option contracts as a means of expanding the opportunities for private venture funding.