LCC Role of Capital Market Intermediaries in the Dot Com Crash Summary
I’m stuck on a Accounting question and need an explanation.
Instructions:
Summarize the article “The Role of Capital Market Intermediaries in the Dot-Com Crash” in half a page each of the articles (Font Size 12/ Paragraph Spacing 1.5/ Font Type Times New Roman) and answer the following question. Must identify and describe all the intermediaries in the case (6 intermediaries). Must describes satisfactory the function of the 6 intermediaries and how each one is rewarded. The student clearly explains how the propose solution will impact each of the 6 intermediaries.
- List all the major players that play an intermediation role between individual investors and entrepreneurs/managers. What is the intended function of each of the intermediaries?
- How is each of the intermediaries you identified compensated for performing its respective function? Is the compensation arrangement likely to lead to any dysfunctional incentives?
- Identify the role each intermediary might have played in the creation of the dot-com bubble. Was this behavior related to the potential dysfunctional behavior identified in question 2?
- How do you fix these problems?
