Interest Rates [2] Consider the following statement. Long term interest rates are at record highs. Most companies

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Interest Rates [2]

Consider the following statement.

Long term interest rates are at record highs. Most companies therefore find it cheaper to finance with common stock or relatively inexpensive short-term bank loans.

What does the Efficient Market Hypothesis have to say about the correctness of this?

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Related Book For  book-img-for-question

Lectures On Corporate Finance

ISBN: B00RGENH5I

1st Edition

Authors: Peter L Bossaerts ,Bernt Arne Odegaard

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