Frontaler Blick auf das D4 Gebäude.

Brown Bag Seminar - Kristian Miltersen

29/04/2024

We are pleased to announce the upcoming Brown Bag Seminar on May 15, 2024.

Our speaker will be Kristian Miltersen(CBS Copenhagen Business School).

He will give a talk on "Incremental Issuance in a Model of Risky Debt with Proportional Issuance Costs" (joint with Jens Dick-Nielsen and Walter N. Torous).

Abstract: We study incremental issuance of corporate debt with and without commitment in a model where earnings are log-normally distributed.  We provide a non-smooth Markov perfect equilibrium solution as an alternative to the smooth Markov perfect equilibrium developed by DeMarzo and He (2021).  In our no commitment non-smooth equilibrium, equity holders gain positive tax benefits to leverage, there is a unique optimal leverage ratio, and a unique optimal maturity structure of debt. 

The talk will take place on May 15, 2024 at 12:00 pm in room TC.3.08.

Back to overview