Theory Of Corporate Finance

The past twenty years have seen great theoretical and empirical advances in the field of corporate finance. Whereas once the subject addressed mainly the financing of corporations - equity debt and valuation - today it also embraces crucial issues of governance liquidity risk management relationships between banks and corporations and the macroeconomic impact of corporations. However this progress has left in its wake a jumbled array of concepts and models that students are often hard put to make sense of. Here one of the worlds leading economists offers a lucid unified and comprehensive introduction to modern corporate finance theory. Jean Tirole builds his landmark book around a single model using an incentive or contract theory approach. Filling a major gap in the field The Theory of
Corporate Finance" is an indispensable resource for graduate and advanced undergraduate students as well as researchers of corporate finance industrial organization political economy development and macroeconomics. Tirole conveys the organizing principles that structure the analysis of todays key management and public policy issues such as the reform of corporate governance and auditing; the role of private equity financial markets and takeovers; the efficient determination of leverage dividends liquidity and risk management; and the design of managerial incentive packages. He weaves empirical studies into the books theoretical analysis. And he places the corporation in its broader environment both microeconomic and macroeconomic and examines the two-way interaction between the
corporate environment and institutions. Setting a new milestone in the field "The Theory of Corporate Finance" will be the authoritative text for years to come."