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Sometimes, projects in developed countries have similar or even higher costs of capital than would a comparable project in a developing country. What could explain

Sometimes, projects in developed countries have similar or even higher costs of capital than would a comparable project in a developing country. What could explain this?

Developing countries are less risky

Investors like helping developing countries

The extra risk associated with developing countries is largely idiosyncratic

Investors are unwilling to invest in regions with lower property protections

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