One justification given for the leveraged buyouts of the 1980s was the "discipline of debt." It was thought that the firms, after leveraging, would perform in a superior manner, thus increasing economic efficiency.Explain this reasoning.

Question

Quizplus · Accepted Answer

The Answer of One justification given for the leveraged buyouts of the 1980s was the "discipline of debt." It was thought that the firms, after leveraging, would perform in a superior manner, thus increasing economic efficiency.Explain this reasoning.

One Justification Given for the Leveraged Buyouts of the 1980s