Have U.S. Corporations Grown Financially Weak?

The feelingis widespread that the financial strength of U.S. corporations has eroded over the past twenty years. This trend is often blamed on some combination of the tax system, inflation and overly optimistic assessments of business risk.This paper examines recent corporate financing developments from along-run perspective. It is concluded that these developments appear less dangerous when viewed in the context of the twentieth century as a whole than when viewed in the context of the post-World War II years. A second major conclusion is that powerful corrective mechanisms are at work to keep corporate financial positions from becoming too risky. These forces have been particularly noticeable over the past ten years. Third, the effects on business financing of the tax system, inflation and business risk are difficult to trace in the aggregate data, and these effects may be less straightforward than has commonly been thought. Finally, it is argued that the degree of economic instability and the relative level of federal government borrowing will be key determinants of future corporate financing patterns.

Consistent Valuation and Cost of Capital Expressions with Corporate and Personal TAxes

This paper examines three valuation methods, each of which should lead to the same value for a given asset. These are the Adjusted Present Value, Adjusted Discount Rate and Flows to Equity methods. To achieve identical valuations, however, the different methods must be implemented with cost of capital expressions that embody a consistent set of assumptions about (1) the tax regime and (2) the time pattern and riskiness of debt tax shields. Valuation and cost of capital expressions that have been proposed in the literature are grouped and contrasted according to these assumptions. It is also shown that the familiar weighted average cost of capital can be consistent with any such set of assumptions, as long as the correct expression is used to estimate the relationship between the levered and unlevered cost of equity.

A Fisherman\u27s Guide: An Assessment of Training and Remediation Strategies

A thoughtful evaluation of the entire CETA system.https://research.upjohn.org/up_press/1144/thumbnail.jp

Inhomogeneous Strichartz estimates

We present abstract inhomogeneous Strichartz estimates for dispersive operators, extending previous work by M. Keel and T. Tao on the one hand, and generalising results of D. Foschi, M. Vilela, M. Nakamura and T. Ozawa on the other hand. It is shown tha

Hardship: The Welfare Consequences of Labor Market Problems: A Policy Discussion Paper

Taggart offers a series of alternative measures of hardship to reassess labor market and intergenerational problems, and alternative microeconomic policies.https://research.upjohn.org/up_press/1135/thumbnail.jp

Measuring What Matters

Taggart offers a series of alternative measures of hardship to reassess labor market and intergenerational problems, and alternative microeconomic policies.https://research.upjohn.org/up_press/1135/thumbnail.jp