David Espinoza co-authored and article entitled "Infrastructure investing and the peril of discounted cash flow: Valuation techniques remain anchored in arcane ideas" in Financial Times on November 3, 2016.
The article discusses infrastructure investing and the thoughts and risks behind Joel Dean's method. It goes on to talk about its theoretical flaws with cash flow problems and the unknowns of the discount rates. Finally, it examines how modern economists have not really solved the problems with Dean's method and why it is hard to raise money for infrastructure investing.
David is a Senior Principal Geotechnical and Geoenvironmental Engineer based in Maryland focused on foundation design over soft soils, design of regulated containment facilities, and financial risk analysis for geoenvironmental projects.
His project experience includes permitting of disposal facilities for municipal solid waste, construction demolition debris, and industrial manufacturing wastes/residuals; design of the full range of components for containment facilities such as stormwater systems, leachate collection systems, and landfill gas collection; and the environmental remediation of contaminated sites.
His financial advisory experience includes economic feasibility evaluations of capital projects such as waste disposal, renewable energy, landfill gas to energy projects in North and South America as well as Europe. He has developed quantitative methods for the evaluation of investment risk in environmental and infrastructure projects using state-of-the-art financial theory to integrate technical risk and market risk. His methodologies are used to allocate project risks among stakeholders for public private partnerships. His work is widely published in leading peer reviewed journals and conference venues. Currently, he is collaborating with leading experts to incorporate the effect of climate change risk on the value of infrastructure projects.
More InformationFor more information regarding the article, visit: Financial Times
To learn more about David Espinoza see his profile at: http://www.geosyntec.com/people/david-espinoza