eprintid: 22190
rev_number: 12
eprint_status: archive
userid: 1482
importid: 105
dir: disk0/00/02/21/90
datestamp: 2016-07-04 08:13:07
lastmod: 2021-04-02 15:53:55
status_changed: 2016-07-04 08:13:07
type: monograph
metadata_visibility: no_search
creators_name: Pierre, Erwan
creators_name: Villeneuve, Stéphane
creators_name: Warin, Xavier
creators_idrefppn: 061507105
creators_idrefppn: 233236198
title: Liquidity Management with Decreasing-returns-to-scale and Secured Credit Line
ispublished: pub
subjects: subjects_ECO
abstract: This paper examines the dividend and investment policies of a cash constrained firm that has access to costly external funding. We depart from the literature by allowing the firm to issue collateralized debt to increase its investment in productive assets resulting in a performance sensitive interest rate on debt. We formulate this problem as a bi-dimensional singular control problem and use both a viscosity solution approch and a verification tech- nique to get qualitative properties of the value function. We further solve quasi-explicitly the control problem in two special cases.
date: 2014-11
date_type: published
publisher: TSE Working Paper
official_url: http://tse-fr.eu/pub/28789
faculty: tse
divisions: tse
keywords: Investment
keywords: dividend policy
keywords: singular control
keywords: viscosity solution
language: en
has_fulltext: TRUE
subjectsJEL: JEL_C61
subjectsJEL: JEL_G35
view_date_year: 2014
full_text_status: public
monograph_type: working_paper
series: TSE Working Paper
volume: 14-542
place_of_pub: Toulouse
pages: 49
institution: Université Toulouse 1 Capitole
department: Toulouse school of economics
book_title: TSE Working Paper
oai_identifier: oai:tse-fr.eu:28789
harvester_local_overwrite: department
harvester_local_overwrite: faculty
harvester_local_overwrite: place_of_pub
harvester_local_overwrite: pages
harvester_local_overwrite: institution
harvester_local_overwrite: creators_idrefppn
oai_lastmod: 2016-06-29T07:57:08Z
oai_set: tse
site: ut1
citation:   Pierre, Erwan, Villeneuve, Stéphane <https://www.idref.fr/061507105> and Warin, Xavier <https://www.idref.fr/233236198>  (2014) Liquidity Management with Decreasing-returns-to-scale and Secured Credit Line.  TSE Working Paper, n. 14-542, Toulouse     
document_url: https://publications.ut-capitole.fr/id/eprint/22190/1/pierre_22190.pdf