lending in the sense that some socially productive firms are denied credit due to excessively high interest rate. …

Credit derivative contracts offer a new route for managing counterparty exposures. This article discusses two formats … of these contracts. The contracts have potential for providing portfolio managers with a cost effective, just …

lending in the sense that some socially productive firms are denied credit due to excessively high interest rate. …

The paper provides an overview of several selected topics dealing with application of agency theory to the credit … contracts. The costly state verification and costly punishment models of optimal debt contracts are introduced and compared with … respect to their performance in the situation characterized by risk aversion. Adverse selection in credit markets and its …