Is Business Saving Really None of Our Business
... In light of these figures, it is no wonder that business saving (defined as cash flows –net revenues plus depreciation- minus dividends) plays a primary role in corporate investment.1 In fact, these retained earnings appear to be by far the main source of business financing. Fan, Titman and Twite (2 ...
... In light of these figures, it is no wonder that business saving (defined as cash flows –net revenues plus depreciation- minus dividends) plays a primary role in corporate investment.1 In fact, these retained earnings appear to be by far the main source of business financing. Fan, Titman and Twite (2 ...
PRINCIPLES OF FINANCIAL ENGINEERING
... which is true, because at t0 , the buyer is paying USD100 for the cash flows shown in Figure 1-2. Buying (selling) such a bond is inconvenient in many respects. First, one needs cash to do this. Practitioners call this funding, in case the bond is purchased. When the bond is sold short it will genera ...
... which is true, because at t0 , the buyer is paying USD100 for the cash flows shown in Figure 1-2. Buying (selling) such a bond is inconvenient in many respects. First, one needs cash to do this. Practitioners call this funding, in case the bond is purchased. When the bond is sold short it will genera ...
Credit Scores, Reports, and Getting Ahead in
... with low credit scores becomes pricegouging rather than just cost-covering is not clear. In a market that functions perfectly, competition would drive prices to that point. But evidence that consumers are under-informed certainly creates an incentive for over-charging.13 On the other hand, it is not ...
... with low credit scores becomes pricegouging rather than just cost-covering is not clear. In a market that functions perfectly, competition would drive prices to that point. But evidence that consumers are under-informed certainly creates an incentive for over-charging.13 On the other hand, it is not ...
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... 72. Which is the correct statement about the relationship between government and the market? A. Government should intervene on the consumers' behalf. B. Government should intervene on the producers' behalf. C. Government should not intervene on any party's behalf. D. Government often plays a role in ...
... 72. Which is the correct statement about the relationship between government and the market? A. Government should intervene on the consumers' behalf. B. Government should intervene on the producers' behalf. C. Government should not intervene on any party's behalf. D. Government often plays a role in ...
Chapter 6 The Risk and Term Structure of Interest Rates
... (b) Two major investment advisory firms, Moody’s Investor Service and Standard and Poor’s Corporation, provide default risk information by rating the quality of corporate and municipal bonds. (c) Bonds with low ratings have been dubbed junk bonds. (d) All of the above are true statements. (e) Only ( ...
... (b) Two major investment advisory firms, Moody’s Investor Service and Standard and Poor’s Corporation, provide default risk information by rating the quality of corporate and municipal bonds. (c) Bonds with low ratings have been dubbed junk bonds. (d) All of the above are true statements. (e) Only ( ...
S2004058_en.pdf
... United Nations Headquarters, New York, N.Y. 10017, U.S.A. Member States and their governmental institutions may reproduce this work without prior authorization, but are requested to mention the source and inform the United Nations of such reproduction. ...
... United Nations Headquarters, New York, N.Y. 10017, U.S.A. Member States and their governmental institutions may reproduce this work without prior authorization, but are requested to mention the source and inform the United Nations of such reproduction. ...
The Crisis That Was Not Prevented
... Chile. He has been a visiting professor at both Oxford and Boston University and at institutes in France, Italy, Spain and Sweden. He has published widely on international economics, development strategies, foreign financing and Latin American economies. Bernardo Lischinsky (1950) is dean at the Depa ...
... Chile. He has been a visiting professor at both Oxford and Boston University and at institutes in France, Italy, Spain and Sweden. He has published widely on international economics, development strategies, foreign financing and Latin American economies. Bernardo Lischinsky (1950) is dean at the Depa ...
How and Why Credit Rating Agencies are not Like Other Gatekeepers
... them fees, and they market ancillary consulting services related to ratings. Credit rating agencies increasingly focus on structured finance and new complex debt products, particularly credit derivatives, which now generate a substantial share of credit rating agency revenues and profits. With respe ...
... them fees, and they market ancillary consulting services related to ratings. Credit rating agencies increasingly focus on structured finance and new complex debt products, particularly credit derivatives, which now generate a substantial share of credit rating agency revenues and profits. With respe ...
EMPRESA NACIONAL DE ELECTRICIDAD SA
... Our Consolidated Financial Statements and, unless otherwise indicated, other financial information concerning to our Group included in this report are presented in pesos. Until the year ended December 31, 2008, Endesa Chile prepared its financial statements in accordance with generally accepted acco ...
... Our Consolidated Financial Statements and, unless otherwise indicated, other financial information concerning to our Group included in this report are presented in pesos. Until the year ended December 31, 2008, Endesa Chile prepared its financial statements in accordance with generally accepted acco ...
Ally Financial Inc. ( GOM ) 10−K
... Global Automotive Services includes our North American Automotive Finance operations, International Automotive Finance operations, and Insurance operations. Our Global Automotive Services business had $120.5 billion of assets at December 31, 2011, and generated $6.4 billion of total net revenue in 2 ...
... Global Automotive Services includes our North American Automotive Finance operations, International Automotive Finance operations, and Insurance operations. Our Global Automotive Services business had $120.5 billion of assets at December 31, 2011, and generated $6.4 billion of total net revenue in 2 ...
Building Sub-national Debt Markets in Developing and
... projects by sub-national entities, thereby considerably reducing the incidence of the soft budget constraint and of moral hazard on the sub-national debt market. 16. There are practically no examples of competitive market structures among major developing and transition countries to date. Within OEC ...
... projects by sub-national entities, thereby considerably reducing the incidence of the soft budget constraint and of moral hazard on the sub-national debt market. 16. There are practically no examples of competitive market structures among major developing and transition countries to date. Within OEC ...
Risk Analysis of Collateralized Debt Obligations
... such as collateralized debt obligations (CDOs). Portfolio credit derivatives are securities whose payoffs are tied, often through complex schemes, to the cash flows in a portfolio of credit instruments such as corporate bonds, loans, or mortgages. They facilitate the trading of insurance against the ...
... such as collateralized debt obligations (CDOs). Portfolio credit derivatives are securities whose payoffs are tied, often through complex schemes, to the cash flows in a portfolio of credit instruments such as corporate bonds, loans, or mortgages. They facilitate the trading of insurance against the ...
Debt Priority and Options in Bankruptcy: A
... perquisites to managers, or a reserve pool of cash that insulates managers from the discipline of product or factor markets. In fact, even if C2 shares priority with C1, it will be prepared to fund unprofitable ventures because it can externalize some of the cost onto C1. So, earlier-in-time priorit ...
... perquisites to managers, or a reserve pool of cash that insulates managers from the discipline of product or factor markets. In fact, even if C2 shares priority with C1, it will be prepared to fund unprofitable ventures because it can externalize some of the cost onto C1. So, earlier-in-time priorit ...
CHAPTER SEVEN
... assets. The cash is passed from the operating activities to the financing activities: The net cash from operations (free cash flow) is a dividend from the operating activities that is invested in the financing activities – either by buying debt or buying back the firm’s own debt. Net financial asset ...
... assets. The cash is passed from the operating activities to the financing activities: The net cash from operations (free cash flow) is a dividend from the operating activities that is invested in the financing activities – either by buying debt or buying back the firm’s own debt. Net financial asset ...
Australian-Bankers-Association-Basel-III
... and the inter-connection of these limits with the capital standards that are proposed for Level 1 capital. The ABA encourages APRA to discuss its proposals with the individual ADIs impacted. If material changes are made to the existing limits, or limits are effectively reduced through higher Level 1 ...
... and the inter-connection of these limits with the capital standards that are proposed for Level 1 capital. The ABA encourages APRA to discuss its proposals with the individual ADIs impacted. If material changes are made to the existing limits, or limits are effectively reduced through higher Level 1 ...
Is the Growth-value Anomaly Related to the Asset Growth Anomaly?
... relations are connected. Financial economists would like to clarify whether the two anomalies are results of different pricing mechanisms or they stem from similar pricing error or risk. Practitioners would also like to know whether and how the anomalies might be combined to form a better investment ...
... relations are connected. Financial economists would like to clarify whether the two anomalies are results of different pricing mechanisms or they stem from similar pricing error or risk. Practitioners would also like to know whether and how the anomalies might be combined to form a better investment ...
Reporting Guidance for All Loan-Backed and Structured Finance
... financial assets. Asset-backed securitization is a financing technique in which financial assets, in many cases themselves less liquid, are pooled and converted into instruments that may be offered and sold more freely in the capital markets. In a basic securitization structure, an entity, often a f ...
... financial assets. Asset-backed securitization is a financing technique in which financial assets, in many cases themselves less liquid, are pooled and converted into instruments that may be offered and sold more freely in the capital markets. In a basic securitization structure, an entity, often a f ...
WABCO Holdings Inc. (Form: 10-K, Received: 02/15
... important information as to risk factors in “Item 1. Business”, “Item 1A. Risk Factors”, and “Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations.” Many important factors could cause actual results to differ materially from management's expectations, includi ...
... important information as to risk factors in “Item 1. Business”, “Item 1A. Risk Factors”, and “Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations.” Many important factors could cause actual results to differ materially from management's expectations, includi ...
Aalborg Universitet Danish Mortgage Finance, Property Rights Protection and Economic Development
... The purpose of the present Part is to extract findings from development economics literature to throw light on selected questions raised in Part A and B on economic development, albeit in glimpses as permitted by the limitations of the study. In this way it is strived at strengthening the (theoretic ...
... The purpose of the present Part is to extract findings from development economics literature to throw light on selected questions raised in Part A and B on economic development, albeit in glimpses as permitted by the limitations of the study. In this way it is strived at strengthening the (theoretic ...
PSEG
... In the future, returns are expected to increase for PSEG, but not to the same extent as other companies in this report. As with other companies studied, the returns are expected to increase as electricity contracts expire and the company can take advantage of higher power prices in the wholesale mar ...
... In the future, returns are expected to increase for PSEG, but not to the same extent as other companies in this report. As with other companies studied, the returns are expected to increase as electricity contracts expire and the company can take advantage of higher power prices in the wholesale mar ...
Capital Flows to Developing Countries: The Allocation Puzzle
... Our finding is that the difference between savings and investment (capital outflows) is positively correlated with productivity growth, which means that savings not only has to be positively correlated with productivity growth, but the correlation must be stronger than that between investment and pr ...
... Our finding is that the difference between savings and investment (capital outflows) is positively correlated with productivity growth, which means that savings not only has to be positively correlated with productivity growth, but the correlation must be stronger than that between investment and pr ...
Master Thesis The Relation Between Quantitative Easing and
... As a consequence, in case the inflation rate is lower than the target rate or if unemployment is higher than the natural rate of unemployment, the central bank should decrease the nominal interest rate (Blanchard, 2009, p. 568). The (very) short term nominal interest rate is the conventional instrum ...
... As a consequence, in case the inflation rate is lower than the target rate or if unemployment is higher than the natural rate of unemployment, the central bank should decrease the nominal interest rate (Blanchard, 2009, p. 568). The (very) short term nominal interest rate is the conventional instrum ...
Financialization
Financialization is a term sometimes used in discussions of the financial capitalism that has developed over the decades between 1980 and 2010, in which financial leverage tended to override capital (equity), and financial markets tended to dominate over the traditional industrial economy and agricultural economics.Financialization describes an economic system or process that attempts to reduce all value that is exchanged (whether tangible or intangible, future or present promises, etc.) into a financial instrument. The intent of financialization is to be able to reduce any work product or service to an exchangeable financial instrument, like currency, and thus make it easier for people to trade these financial instruments.Workers, through a financial instrument such as a mortgage, may trade their promise of future work or wages for a home. The financialization of risk sharing is what makes possible all insurance. The financialization of a government's promises (e.g., US government bonds) is what makes possible all government deficit spending. Financialization also makes economic rents possible.