The capital asset pricing model (CAPM) receives both criticism and widespread adoption by practitioners and academics as the weighted average cost of capital (WACC) equity component. This study introduces two new costs of equity measures to address CAPM criticisms and provide new perspective on...

In principle, there is no compelling reason for any nation to pay its debts. National sovereignty precludes a creditor nation from attaching assets within the debtor nation's borders and a poor nation usually has few assets outside of its boundaries. In practice, nations do pay their debts. Our...