Capital Flows with Debt- and Equity-Financed Investment-Equilibrium Structure and Efficiency Implications:

This paper distinguishes between debt and equity flows in the presence of information asymmetry between the firm's "insiders" and "outsiders" in a small open economy. It shows the inadequacy of capital investment because its scope is too narrow and the investment each firm m...

Full description

Saved in:
Bibliographic Details
Main Author: Razin, Assaf (Author)
Format: Electronic eBook
Language:English
Published: Washington, D.C International Monetary Fund 1998
Series:IMF Working Papers Working Paper No. 98/159
Online Access:UBW01
UEI01
LCO01
SBR01
UER01
SBG01
UBG01
FAN01
UBT01
FKE01
UBY01
UBA01
FLA01
UBM01
UPA01
UBR01
FHA01
FNU01
BSB01
TUM01
URL des Erstveröffentlichers
Summary:This paper distinguishes between debt and equity flows in the presence of information asymmetry between the firm's "insiders" and "outsiders" in a small open economy. It shows the inadequacy of capital investment because its scope is too narrow and the investment each firm makes is too little. An unconventional policy tool is proposed to correct the market failure: lump-sum subsidies to firms that choose to equity-finance their investments
Physical Description:1 Online-Ressource (21 p)
ISBN:1451857640
9781451857641

There is no print copy available.

Interlibrary loan Place Request Caution: Not in THWS collection! Get full text