Category Archives: debt & equity

2015 Economic Forecast by Joel Stern


Last year my economic forecast for 2014 called for a rate of real economic growth of 4% for the U.S., much higher than the prevailing forecast at the time as well as the prevailing rate of economic growth that had existed in the years 2010-2013.  Economic growth had only been sputtering along at between 1.8% […]

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Debt Is Not Cheaper Than Equity


One of the most important questions for students of corporate finance has to do with whether value can be created on the right-hand side of the balance sheet. Earlier I pointed out why value cannot be created from cash dividend payments, share buybacks and even from splitting the shares. It is time now to take […]

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