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The leading piece of theoretical research in corporate finance is Myers and Majluf (1984)

They showed that when there is information asymmetry between the market and managers, a pecking order emerges in terms of how the firm should obtain funds for capital investments. Specifically, a firm would prefer to use: a. debt, then retained earnings, and finally outside equity. b. retained earnings, then debt, and finally outside equity. c. retained earnings, then outside equity, and finally debt. d. debt, then outside equity, and finally retained earnings.

Plato felt that the fundamental key in the development of an economy was:

a. All things ascend, and the royal rule of economy is that it should ascend also, or, whatever we do mush have a higher aim b. If one advances confidently in the directions of his dreams, and endeavors to live the life which he has imagined, he will meet with a success unexpected in common hours c. More things are produced, and better and more easily, when one man performs one task according to nature, at th right moment, and at leisure from other occupations d. The general industry of the society never can exceed what the capital of the society can employ