Determinants of corporate borrowing

Myers, S. C. (1977). Determinants of corporate borrowing. Journal of Financial Economics, 5(2), 147-175.

Type

Journal article

Intellectual base

Primary research

Year

1977

Link

https://doi.org/10.1016/0304-405x(77)90015-0matched

Cited from

economics_finance

Cited by

1 citation across 1 artifact.

Each citation links to the sentence it supports in the citing article.

Primes

• Optionality
  • Optionality clarifies this distinction and highlights the premium (pilot cost, delay, added complexity) versus the upside (preserved future choices if conditions warrant), echoing Myers's (1977) original framing of corporate growth opportunities as call options on future investment.

    This sourceOriginates the "real options" framing of corporate growth opportunities as call options on discretionary future investment; distinguishes assets-in-place (committed resources) from option-like growth opportunities (preserved optionality).

Verification

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Registry ID ref:9a280b3ba55b · see in the full table