Modigliani, Franco

Franco Modigliani was a renowned Italian-American economist best known for his work on the theory of investment and the life-cycle hypothesis of savings. He helped explain how individuals plan their consumption and savings over their lifetime, influencing personal finance and economic policy. Additionally, Modigliani contributed to corporate finance with the Modigliani-Miller theorem, which suggests that under certain conditions, a company's value is unaffected by its financing choices, such as debt or equity. His insights significantly advanced understanding of financial markets, corporate behavior, and economic stability.