This study investigates how two competing capital structure theories: the pecking order and the static trade-off models, impact financing decisions in multinational interand intra-firm innovation collaborations. The results show that for the pecking order model, debt repayment, working capital, capital expenditure and operating cash flow are the main variables determining a deficiency in intern...

U.S. schools are failing the nation and the nation’s economy. It may be that a greater level of expenditure can be justified and urged upon the nation based on an analysis of schooling effects on economic growth. Alternatively, the nation should aim to provide the highest quality of schooling at the level of expenditure preferred by the taxpayer. The application of a choice model for social exp...

We present a genetic algorithm for the design of survivable networks with minimum capital expenditure. The survivability against any single link failure is ensured by path dedicated protection. An integer linear programming model to evaluate the quality of the genetic algorithm solutions is also presented. Using the integer linear programming model and the genetic algorithm near-optimal topolog...

After 1 July 2006, a major challenge that the manufacturing industry has to confront now is the effect of the lead-free equipment system selection process on companies’ capital expenditure decision. With capital investment, the criteria may be financial (e.g. expected cash flows) and non-financial (e.g. product quality). We use a systems approach with the fuzzy analytic hierarchy process (FAHP)...

We analyze the role of government intertemporal budget policies in a growing open economy including nominal assets in the presence of an upward sloping supply of debt. This introduces transitional dynamics that influence the effects of government policy instruments on the long term fiscal liability. In particular, shifts in capital income taxes can lead to dynamic scoring effects through the ev...

Investment frictions reduce, delay or protract investment expenditure that is necessary for firms to capture growth opportunities. Using an investment model with capital adjustment costs, this article estimates the gap betweenChina’s actual and frictionless aggregate output. It applies the method of simulated moments to a fully structural investment model on a panel of Chinese firms and takes i...

We examine some recent cases in which stabilisation has failed for political reasons, in the process developing a model of political response to crisis which stems from the ‘survival strategy’ literature. Alongside the ‘standard’ correlations of stabilisation failure with inequality and deficiencies in social capital, we also draw attention in this context to the ability of ‘pro-poor expenditur...

This paper considers an economic production quantity (EPQ) model with imperfect production processes, in which the setup cost and process quality are functions of capital expenditure. The mathematical model is derived to investigate the effects of an imperfect production process on the optimal production cycle time when capital investment strategies in setup reduction and process quality improv...