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The Modigliani-Miller Theorem states that the value of a firm is invariant with respect to its leverage policy in anarbitrage-freemarket when there is no corporate income tax and no bankruptcy cost.

The Volokh Conspiracy Greenspans The Crisis and Modigliani and Miller

The Modigliani-Miller Theorem states that the value of a firm is invariant with respect to its leverage policy in anarbitrage-freemarket when there is no corporate income tax and no bankruptcy cost.

The Volokh Conspiracy Greenspans The Crisis and Modigliani and Miller

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