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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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