The Korean Journal of Financial Studies (재무관리논총)
- Volume 3 Issue 2
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- Pages.235-256
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- 1996
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- 1226-1467(pISSN)
EVALUATION OF ILLIQUID ASSETS
Abstract
This paper studies evaluation of illiquid assets by using a consumption and investment model. In particular, the paper defines the marginal values of illiquid assets and shows how optimal consumption and investment policies are related to the marginal values. The general results are illustrated by two concrete examples.
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