Asset substitution

 

Home
Site Map
Add Term
Search
About Us
Contributors

Asset substitution

Occurs when a firm invests in assets that are riskier than those that the debtholders expected.



Asset substitution

Similar Matches

Substitution effect

Substitution effect

That portion of the effect of price on quantity demanded that reflects the changed tradeoff between the good and other alternatives. Contrasts with income effect.


Constant elasticity of substitution function

Constant elasticity of substitution function

See CES function


Substitution swap

Substitution swap

A swap in which a money manager exchanges one bond for another bond that is similar in terms of coupon, maturity, and credit quality, but that offers a higher yield.


Marginal rate of substitution

Marginal rate of substitution

In a production function or a utility function, the ratio at which one argument (input) substitutes for another along an isoquant or indifference curve.


Import substitution

Import substitution

A strategy for economic development that replaces imports with domestic production. It may be motivated by the infant industry argument, or simply by the desire to mimic the industrial structure of advanced countries. Contrasts with export promotion.


Further Suggestions

No Substitution
Same day substitution
Import substitution development strategy
Elasticity of substitution


 
All rights Reserved. Do not copy without permission.