%0 Journal Article %1 1977 %A Hellwig, Martin F. %D 1977 %I The Econometric Society %J Econometrica %K borrowing finance game_theory lending %N 8 %P pp. 1879-1906 %T A Model of Borrowing and Lending with Bankruptcy %U http://www.jstor.org/stable/1914117 %V 45 %X The paper analyzes borrowing and lending on uncertain future income, with a positive probability of bankruptcy. Creditor and debtor play a strategic game, in which it is shown that optimal creditor behavior is not generally well defined. The model suggests that under uncertainty the availability of credit may be restricted below that which would be predicted by classical microeconomic theory.

@article{1977, abstract = {The paper analyzes borrowing and lending on uncertain future income, with a positive probability of bankruptcy. Creditor and debtor play a strategic game, in which it is shown that optimal creditor behavior is not generally well defined. The model suggests that under uncertainty the availability of credit may be restricted below that which would be predicted by classical microeconomic theory.}, added-at = {2013-05-15T03:30:46.000+0200}, author = {Hellwig, Martin F.}, biburl = {https://www.bibsonomy.org/bibtex/2be6e262e8886d4341a27b1e4416feb40/jp}, copyright = {Copyright © 1977 The Econometric Society}, description = {JSTOR: Econometrica, Vol. 45, No. 8 (Nov., 1977), pp. 1879-1906}, interhash = {9d14fbde7d809fc1237d36568f8bafc4}, intrahash = {be6e262e8886d4341a27b1e4416feb40}, issn = {00129682}, journal = {Econometrica}, jstor_articletype = {research-article}, jstor_formatteddate = {Nov., 1977}, keywords = {borrowing finance game_theory lending}, language = {English}, number = 8, pages = {pp. 1879-1906}, publisher = {The Econometric Society}, timestamp = {2013-05-15T03:30:46.000+0200}, title = {A Model of Borrowing and Lending with Bankruptcy}, url = {http://www.jstor.org/stable/1914117}, volume = 45, year = 1977 }