Economic Growth Basics (Second Edition)

Author: James L. Grant & Liu Zhiyuan
Publisher:
Publish Date: 2005-03-01
Features: This book distinctly focuses on the role of economic profit in financial theory, the empirical relevance of Economic Value Added (EVA) as a metric for measuring corporate financial success, and the principles of applying EVA in evaluating companies, industries, or even the broader market economy. It is groundbreaking because it truly connects stock prices with investment performance, further elaborating on the practical utility of economic profit as a decision-making tool for both companies and investors. The book not only provides readers with the fundamental elements of value-based financial statement analysis but also demonstrates the connection between corporate capital allocation decisions and stock prices in a compelling and accessible manner. Economic Value Added: The Basics (Second Edition) is a significant expansion of the first edition. The second edition has a broader focus, more clearly emphasizing the role of economic profit in financial theory, the empirical relevance of EVA as a metric for measuring corporate financial success, and the principles of applying EVA in evaluating companies, industries, or even the broader market economy.