The Innovator's Risk Premium: Sticky Hurdle Rates, the Cost of Capital, and Creative Destruction
The research shows that firms' hurdle rates exceed their financial cost of capital due to innovation risk and imperfect pledgeability, explaining weak productivity growth and declining business dynamism.
Featured in No. 133 on 2 Oct 2026 · on release day
- Released
- 2 Oct 2026
- First featured
- No. 133 · 2 Oct 2026
- Published in
- Not yet, as far as Semantic Scholar knows
- Fanfare
- 2 of 5
- Identifier
- RePEc:bde:wpaper:2628e
- Authors
- Craig A. Chikis et al.
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