Risky Debt-Maturity Choice under Information Asymmetry

• المؤلفون الرئيسيون: WU, Chunchi, LIU, Sheen
• التنسيق: text
• اللغة: English
• منشور في: Institutional Knowledge at Singapore Management University 2007
• الموضوعات: Bond maturity; information asymmetry; signaling; sequential games; Finance and Financial Management; Portfolio and Security Analysis
• الوصول للمادة أونلاين: https://ink.library.smu.edu.sg/lkcsb_research/1574; https://ink.library.smu.edu.sg/context/lkcsb_research/article/2573/viewcontent/Risky_Debt_Maturity_Choice_under_Information_Asymmetry_2007.pdf

The traditional equilibrium models of signaling with debt-maturity require transaction costs by firms when raising new capital. In this paper, we propose a new model that has no such requirement. We demonstrate that a separating equilibrium of debt-maturity choice exists under a much more general co...