version of the separation of ownership and control -- Jensen's (1986) free cash flow theory--into a dynamic equilibrium model … and study the effect of imperfect corporate control on asset prices and investment. We assume that firms are run by empire … aggregate free cash flow of the corporate sector is an important state variable in explaining asset prices and investment. We …

convex cost of adjustment. A baby boom increases national saving and investment and thus causes an increase in the price of …. Social Security can potentially affect national saving and investment, though in the long run, it does not affect the price …

's incentives to tell the truth depend on the interaction between her investment horizon and the information acquisition decisions … of message-receiving investors. The model's key prediction is that short investment horizons can facilitate credible …

capitalization, exploration investment and discoveries. To explain and quantify these four effects, we use an analytical model of … investment in exploration capital with intertemporal adjustment costs, depletion of reserves and market capitalization, and …