In case of multiple creditors a coordination problem can arise when the borrowing firm runs into financial distress. Even if the project's value at maturity is enough to pay all creditors in full, some creditors may be tempted to foreclose on their loans. We develop a model of creditor...

Summary The paper presents a dynamic general-equilibrium model of education, quality and variety innovation, and scale-invariant growth. We consider endogenous human-capital accumulation in an educational sector and quality and variety innovation in two separate R&D sectors. In the balanced...

The objective of the seminar was to discuss current issues involving financial markets and the economy in the fields of corporate governance, banks and stock markets as well as the causes and the consequences of international financial crises. (Published in German.)

The Ottobeuren Seminar on Economics is an institution with a long tradition in economic research. Each year a small number of designated experts meet for a symposium in Ottobeuren. The subject chosen is addressed from various angles: new theoretical approaches are discussed, new empirical...

This volume contains the papers and discussions held at the 40th Ottobeuren Seminar on Economics dealing with the subject of "Redistribution and Social Justice." Numerous relevant questions from the fields of fiscal and social policy were dealt with from a theoretical, empirical and...