Tong, Zhenxu - In: Journal of Banking & Finance 36 (2012) 6, pp. 1592-1603
bank lines of credit. We find that coinsurance effect is associated with a higher availability of bank lines of credit, and … that diversified firms hold a higher level of bank lines of credit if they have higher investment opportunities and if they … of credit due to the coinsurance effect. The findings are consistent with the coinsurance effect hypothesis and …