The dynamics of asset lifetime under tec
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Natali Hritonenko; Yuri Yatsenko
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Article
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2008
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Elsevier Science
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English
β 494 KB
The variable lifetime of assets is analyzed in a serial replacement problem. Technological change impacts the maintenance cost and new asset cost. The optimal asset lifetime appears to be constant only when both costs decrease with the same rate. We identify cases when the technological change decre