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associated with a greater degree of experimentation by investors. Investors respond to financing risk ― a forecast of limited … equilibrium, financing risk disproportionately impacts innovative ventures with the greatest real option value. We propose that …
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competition are sufficiently high, a negative risk premium arises that resolves over time with learning. The model generates price … destruction affects risk, wealth, and prices. Overinvestment not only imposes excessive disruption risk on existing assets and … wealth). Because of hedging motives, wealth duration and uncertainty decrease systematic risk. If rent seeking and …
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