Showing 1 - 10 of 63
We investigate the term structure of bond market illiquidity premia and show that the term structure varies greatly over time. Short and long end are strictly separated suggesting that different economic factors drive different parts of the term structure. We propose a stylized theoretical model...
Persistent link: https://www.econbiz.de/10010574870
Persistent link: https://www.econbiz.de/10010867719
Persistent link: https://www.econbiz.de/10014278623
Persistent link: https://www.econbiz.de/10001473632
Persistent link: https://www.econbiz.de/10005154164
Persistent link: https://www.econbiz.de/10005322130
Persistent link: https://www.econbiz.de/10001633268
Persistent link: https://www.econbiz.de/10005709843
This paper examines the effect of debt and liquidity on corporate investment in a continuous-time framework. We show that stockholder-bondholder agency conflicts cause investment thresholds to be U-shaped in leverage and decreasing in liquidity. In the absence of tax effects, we derive the...
Persistent link: https://www.econbiz.de/10008499129
Persistent link: https://www.econbiz.de/10005213254