WASET
	%0 Journal Article
	%A Libena Cernohorska and  Veronika Linhartova and  Michal Sinka and  Petr Teply
	%D 2012
	%J International Journal of Economics and Management Engineering
	%B World Academy of Science, Engineering and Technology
	%I Open Science Index 65, 2012
	%T The Role of Private Equity during Global Crises
	%U https://publications.waset.org/pdf/3589
	%V 65
	%X The term private equity usually refers to any type of
equity investment in an asset in which the equity is not freely
tradable on a public stock market. Some researchers believe that
private equity contributed to the extent of the crisis and increased
the pace of its spread over the world. We do not agree with this.
On the other hand, we argue that during the economic recession
private equity might become an important source of funds for firms
with special needs (e.g. for firms seeking buyout financing, venture
capital, expansion capital or distress debt financing). However,
over-regulation of private equity in both the European Union and
the US can slow down this specific funding channel to the
economy and deepen credit crunch during global crises.
	%P 940 - 944