Title: Risk shifting and long-term contracts
Description: Risk shifting and incomplete contracting lie at the heart of the agency relationship inherent in the procurement and financing of large-scale projects such as power plants, oil and gas pipelines, and liquefied natural gas facilities. An investigation of Ras Gas bonds provides empirical evidence of the risk-shifting consequences of contractual incompleteness.
Subjects: Bonds, Incomplete contracts, Project finance, Public utilities, Risk
Places: Korea (South)