On the Modeling of Debt Maturity and Endogenous Default: A Caveat
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Fri, 08/05/2009 14:15 |
Jean-Paul Decamps (Toulouse) |
Nomura Seminar  |
DH 1st floor SR |
| We focus on structural models in corporate finance with roll-over debt structure and endogenous default triggered by limited liability equity-holders. We point out imprecisions and misstatements in the literature and provide a rationale for the endogenous default policy. | |||