New financial model determines optimal capital structure for infrastructure investments.
The article discusses how to find the best way to finance public infrastructure projects like the Tianjin Binhai New District Metro Z4 line in China. The researchers created a financial model using interval numbers to consider uncertain factors and help investors decide how much debt to take on. By analyzing different capital structures, they found that a 45% capital contribution ratio is the best plan for this project. This method can help investors make smarter decisions about how to fund projects and manage risks.