EVPI (Expected Value of Perfect Information)

[Pernille.S]

Dear all,

Is it realistic to have a negative EVPI if the investments prior to uncertainty resolution is similar for both perfect information and  stochastic scenarios?

Any suggestions is much appreciated.

Regards,
Dejene

Dear Dejene, 

As I undertstand, EVPI is in theory larger or equal to zero. 

But more interesting, why are you calculating this value? What is your uncertainty? In my opinion, EVPI has a limited practical value in long-term TIMES models.

Pernille