Search Results - subject:"induced risk aversion"

Why fixed rent contracts are less prevalent: Weak third party enforcement and endogenous principal type

Fabella, Raul V. - 2016

results in a strictly positive induced risk aversion which always exceeds the inherent risk aversion of the agent. This …

Persistent link: https://www.econbiz.de/10011666756

Why fixed rent contracts are less prevalent : weak third party enforcement and endogenous principal type

Fabella, Raul V. - 2016

results in a strictly positive induced risk aversion which always exceeds the inherent risk aversion of the agent. This …

Persistent link: https://www.econbiz.de/10011582250

The net worth trap: investment and output dynamics in the presence of financing constraints

Isohätälä, Jukka; Milne, Alistair; Robertson, Donald - 2014

We study the impact of financing constraints on investment and output dynamics, in a continuous time setting with output a linear function of capital. Decline of net worth reduces investment and, if firms can rent capital to unconstrained outside investors, can create a 'net worth trap' with...

Persistent link: https://www.econbiz.de/10012148232

The net worth trap: investment and output dynamics in the presence of financing constraints

Isohätälä, Jukka; Milne, Alistair; Robertson, Donald - Suomen Pankki - 2014

Persistent link: https://www.econbiz.de/10011074904