Investor Protection and Equity Markets /

We present a simple model of an entrepreneur going public in an environment with poor legal protection of outside shareholders. The model incorporates elements of Becker's (1968) crime and punishment' framework into a corporate finance environment of Jensen and Meckling (1976). We examine...

Ausführliche Beschreibung

Gespeichert in:
1. Verfasser:
Shleifer, Andrei
Körperschaft:
National Bureau of Economic Research
Weitere Verfasser:
Wolfenson, Daniel
Format:
Elektronisch E-Book
Sprache:
Englisch
Veröffentlicht:
Cambridge, Mass. National Bureau of Economic Research 2000.
Zusammenfassung:
We present a simple model of an entrepreneur going public in an environment with poor legal protection of outside shareholders. The model incorporates elements of Becker's (1968) crime and punishment' framework into a corporate finance environment of Jensen and Meckling (1976). We examine the entrepreneur's decision and the market equilibrium. The model is consistent with a number of empirical regularities concerning the relationship between investor protection and corporate finance.
Umfang:
1 online resource: illustrations (black and white);
Anmerkungen:
October 2000.
Schlagworte: