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The contingent claims analysis of the firm financing often presents a debt renegotiation game with a passive bank which does not use strategically its capability to force liquidation, contrary towhat is observed in practice. The first purpose of this paper is to introduce more strategic bank...
Persistent link: https://www.econbiz.de/10005015284
contributions in insurance economics since that time. The review begins with the role of utility, risk, and risk aversion in the …
Persistent link: https://www.econbiz.de/10014025527
finance per se did not trigger the last financial crisis. The crisis was propagated around the world because of poor risk …
Persistent link: https://www.econbiz.de/10013155634
finance per se did not trigger the last financial crisis. The crisis was propagated around the world because of poor risk …
Persistent link: https://www.econbiz.de/10008577822
The study of risk management began after World War II. Risk management has long been associated with the use of market … insurance to protect individuals and companies from various losses associated with accidents. Other forms of risk management … protection against pure risk. The use of derivatives as risk management instruments arose during the 1970s, and expanded rapidly …
Persistent link: https://www.econbiz.de/10010693200
The identification of information problems in different markets is challenging issue in the economic literature. In this paper, we study the identification of moral hazard from adverse selection and learning within the context of a multi-period dynamic model. We extend the model of Abbring et...
Persistent link: https://www.econbiz.de/10013115720
quality to ensure that they can repay the loans, because the risk of delinquencies falls on investors rather than lenders. One …
Persistent link: https://www.econbiz.de/10013107803
contributions in insurance economics since that time. The review begins with the role of utility, risk, and risk aversion in the …
Persistent link: https://www.econbiz.de/10012959767
We contribute to the growing literature on moral hazard by offering empirical evidence of the effectiveness of insurance pricing incentives at improving road safety by comparing the claim frequency following a regulatory reform introduced in a pilot city in China with the experience of another...
Persistent link: https://www.econbiz.de/10012902150
quality to ensure that they can repay the loans, because the risk of delinquencies falls on investors rather than lenders. One …
Persistent link: https://www.econbiz.de/10010541212