Gee’s Reviews > The Volatility Machine: Emerging Economies and the Threat of Financial Collapse > Status Update

There is a possible signaling effect in the capital ​structure. By designing a highly inverted capital structure, some offi​cials believe that they are
signaling to the market their complete con​fidence in their policies and their refusal to change these policies—if ​they do, their inverted capital structure will impose punishing costs.