Investment Valuation with Tax-optimized Financing Decisions and a Tax-optimized Default Alternative

In this paper we evaluate an indivisible investment project that is carried out in a corporation under very simple premises. In particular, we discuss a one-period model with certainty, the pure domestic case and proportional tax rates. Surprisingly, the decision problem turns out to be rather complex if one has to make allowance for different taxation of the corporation and its owner. Altogether there are more than 10 cases that have to be distinguished if the firm's managers want to make a correct decision, depending on the relation of personal and corporate tax rates.

The Philanthropy Scale: a Sociological Perspective in Measuring New Forms of Pro Social Behaviour

In wealthy countries, philanthropy is conspicuous back on stage. It appears in new forms, worldwide. As a result, scholarly attention for philanthropy is growing. Philanthropic goals refer to persons, groups and communities who, in most cases, are not personally known to the giver. In research, however, philanthropic motivations of individuals are usually measured by socio-psychological scales which presuppose direct interactions. Measuring philanthropy could therefore be improved by incorporating a sociological frame of reference as well. As a starting point, this article presents a preliminary version of the philanthropy scale that has been tested in the panel survey of the Giving in the Netherlands (GIN) study. The results are discussed in terms of shortcomings and challenges for further research.