In many OECD countries, a seller has a right to reimbursement of VAT (RVAT) she has paid on goods sold, but for which she has not yet received payment. Such reimbursement of VAT on receivables is economically inefficient. It leads to: <p> • Distortion of credit markets, by subsidizing direct...</p>

The article analyses how government spending is determined under different exchange rate regimes in the context of a small open economy. Assuming nominal wage contracts which last for one period and assuming a benevolent government which determines government spending to optimise a...

In Denmark, taxation of residential property returns varies considerably with the type of ownership and type of tenure in terms of the way income is calculated, the types of taxes applied and tax rates, which range from 0 % to above 60 %. Together with other housing subsidies this disparity in...

The return on a bond investment comes from three sources: Interest payments, real- <p> ized capital gains and accrued capital gains. We provide an exact description on how <p> the capital gains can be measured under a variety of accounting rules for measuring <p> accruals and study the theoretical...</p></p></p>

This paper analyzes the relationship between ownership structure and security <p> performance. We use a unique data set that includes all of the announcements of <p> changes in institutional and strategic investors' ownership in firms listed on the <p> Copenhagen Stock Exchange in 1997. Using a piecewise...</p></p></p>

The announcement of a convertible bond call is associated with an average contem- <p> poraneous abnormal stock price decline of 1.75% and an ensuing price recovery in the <p> conversion period. A price fall and the subsequent recovery suggest price pressure as <p> the explanation for the announcement...</p></p></p>

This paper investigates the relative magnitude of the components in the bid-ask spread <p> around earnings announcements using the method in Stoll (1989). The results show that <p> earnings surprises convey relevant pricing information and that significant information <p> asymmetry exists between the...</p></p></p>

We derive an explicit solution to the portfolio problem of a power utility investor with preferences for wealth at a ¯nite investment horizon. The investor can invest in assets with return dynamics described as part of a general multivariate model. The modeling framework encompasses...

This paper examines the consequences of a certain regulatory restriction on bids <p> for dual class shares. Shares of dierent classes are often argued to have dierent <p> prices because a premium will be paid to the superior voting shares in the case of a <p> tender oer. This paper takes as given a setup...</p></p></p>

Systems risk refers to the likelihood that an IS is inadequately guarded against certain types of damage or loss. While risks are posed by acts of God, hackers and viruses, consideration should also be given to the ‘insider’ threat of dishonest employees, intent on undertaking some form of...