Besancenot, Damien; Vranceanu, Radu P. - In: Research in economics : an international review of economics 63 (2009) 1, pp. 11-21
This paper analyzes the effect of stricter sanctions against fraudulent disclosure in an economy where commercial lenders have only an imperfect information about the type of the firm they trade with. In the hybrid Bayesian equilibrium, some managers running fragile firms claim that their firm...
