Investment by the letters

The purpose of this research was to understand whether the investment in the stock market as well as its sectors produces more return compared to the investment in risk-free asset. The questions arise due to many investors failed to gain more wealth ...

We build a model of investment and financing decisions to study the choice between bonds and bank loans in a firm's marginal financing decision and its effects on corporate investment. We show that firms with more growth options, with higher bargaining ...