The option to defer investment,such as the ability of a leaseholder of an undeveloped oil reserve to defer development and investment until oil prices have elevated the value of the reserves above their development costs,is most similar to:

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The ability to defer investment until conditions are more favorable is akin to a call option on a stock, where the holder has the right, but not the obligation, to buy the stock at a predetermined price within a certain period. Similarly, the leaseholder can choose to develop the oil reserve when the price makes it economically viable, much like exercising a call option when the stock price is favorable.

The Option to Defer Investment,such as the Ability of a Leaseholder