Web Quotableonline.com Frasescelebres.org Greatbookscollection.org

Franco Modigliani (June 18, 1918 – September
25, 2003) was an Italian-American economist at the
MIT Sloan School of Management, and winner of The
Bank of Sweden Prize in Economic Sciences in
Memory of Alfred Nobel in 1985.

Born in Italy, he left Italy for the US in 1939
because of his Jewish background and antifascist
views. In 1946, he became a naturalized citizen of
the United States.

Modigliani, along with Merton Miller, formulated
the important Modigliani-Miller theorem in
corporate finance. 
This demonstrated that under certain assumptions,
the value of a firm is not affected by whether it
is financed by equity (selling shares) or debt
(borrowing money).

He was also the originator of the life-cycle
hypothesis, which attempts to explain the level of
saving in the economy.  
Modigliani proposed that consumers would aim for a
stable level of income throughout their lifetime,
for example by saving during their working years
and spending during their retirement.

== External links ==
*
http://www.nobel.se/economics/laureates/1985/modig
liani-autobio.html Franco Modigliani autobiography
*
http://www.nobel-winners.com/Economics/franco_modi
gliani.html About Franco Modigliani from
nobel-winners.com
* http://mitsloan.mit.edu/fm-memorial/ Memorial
for Franco Modigliani - MIT Sloan
* http://kilop.atspace.com/modigliani-press.html
his pioneering analyses of saving and of financial
markets.

==See also==
*List of economists
*List of economics consultancies and think tanks