The Pariser-Parr-Pople Hamiltonian is used to calculate and identify the na
ture of the low-lying vertical transition energies of polydiacetylene. The
model is solved using the density matrix renormalization group method for a
fixed acetylenic geometry for chains of up to 102 atoms. The nonlinear opt
ical properties of polydiacetylene are considered, which are determined by
the third-order susceptibility. The experimental 1B(u) data of Giesa and Sc
hultz are used as the geometric model for the calculation. For short chains
, the calculated E(1B(u)) agrees with the experimental value, within solvat
ion effects (similar to0.3 eV). The charge gap is used to characterize boun
d and unbound states. The nB(u) state is above the charge gap and hence a c
ontinuum state; the 1B(u), 2A(g), and mA(g) states are not and hence are bo
und excitons. For large chain lengths, the nB(u) state tends towards the ch
arge gap as expected, strongly suggesting that the nB(u) state is the condu
ction band edge. The conduction band edge for polydiacetylene is agreed in
the literature to be similar to3.0 eV. Accounting for the strong polarizati
on effects of the medium and polaron formation gives our calculated E-infin
ity(nB(u)) similar to3.6 eV, with an exciton binding energy of similar to1.
0 eV. The 2A(g) state is found to be above the 1B(u) state, which does not
agree with relaxed transition experimental data. However, this could be res
olved by including explicit lattice relaxation in the Pariser-Parr-Pople-Pe
ierls model. Particle-hole separation data further suggest that the 1B(u),
2A(g), and mA(g) states are bound excitons, and that the nB(u) is an unboun
d exciton.