Investment, Capital Market Imperfections, and Uncertainty: Theory and Empirical Results

by Robert Lensink, Hong Bo, and Elmer Sterken

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Book cover for Investment, Capital Market Imperfections, and Uncertainty

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This book presents an up-to-date overview of the theory as well as the empirics of the relationship between investment, financial imperfections and uncertainty.

After reviewing the capital market imperfections literature and the empirical results, the authors discuss both traditional investment models with uncertainty and the more modern option based models. They present an overview of empirical results of the modelling of investment under uncertainty. In these examples, the effects of capital market imperfections on investment are carefully considered. The authors conclude that there is overwhelming empirical support for a negative uncertainty-investment relationship.

This innovative book will appeal to academics with an interest in investment theory, professionals in the financial sector and students of macroeconomics and finance. Investment, Capital Market Imperfections, and Uncertainty assumes only a basic knowledge of mathematics and is easily accessible.

  • ISBN10 1840640855
  • ISBN13 9781840640854
  • Publish Date 28 November 2001
  • Publish Status Active
  • Publish Country GB
  • Imprint Edward Elgar Publishing Ltd
  • Format Hardcover
  • Pages 168
  • Language English