Corporate Finance

Corporate Finance --- The purpose of the course is to provide a background for understanding the determinants of corporate financial policy and introduce students to current research in finance. The course complements the material in BA 855. The boundaries of the firm, its financial structure and issues of corporate control are discussed by drawing upon theories of agency, incomplete contracting, and property rights. We cover strategic issues in the market for corporate control, bankruptcy and reorganizations and optimal contracts as applied to the design of securities. We will also discuss issues such as the interaction between product market competition and financial policy.