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Revenue bonds are the securities issued for financing an entity for general public-purpose. The securities issued for entity financing are backed up with the revenues generated from the completed projects. The tax and revenue resources back up the securities issued for financing general public purpose. These resources were previously part of the general fund.
Revenue bonds are classified. For example, revenue bonds include utility revenue bonds, transportation revenue bonds, housing revenue bonds, higher education revenue bonds, health care revenue bonds, etc.
Assume there exists a nontradable asset with a perfect positive correlation along with a portfolio T of tradable assets. How will the nontradable asset be priced? The nontradable
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