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Moreover, after-tax profits associated with high quality investments are reduced, which undermines managerial incentives to invest in the interest of the shareholders.
Firms face a moral hazard problem because their quality investments are not observed.
In Rwanda, quality investments, better planning, accountable systems and the use of ICT have made a real impact.
Like other analysts, Mr. Gong also worried that the spending surge might lead to a rash of corruption cases, wasteful spending, and poor quality investments.
The company has amassed more than €2bn in cash and high quality investments and has been the vehicle which has financed several group acquisitions.
"Fannie and Freddie thought they were taking AAA tranches, and like so many investors, they were surprised when they didn't turn out to be such quality investments".
Similar(36)
We hope to see a continued influx of high quality investment firms investing in the region.
We're a quality investment firm.
Having opportunities to be together is a quality investment.
"If we maintain our superior quality, investment will come here anyway".
Governments that carry out high quality investment should be encouraged, not penalised.
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