Legesse, Tenkir Seifu; Tang, Jiqiang; Wu, Zhen; Guo, Haifeng - In: Cogent economics & finance 9 (2021) 1, pp. 1-21
This study examines the impact of debt financing on the productivity of capital invested and the mediating role of corporate investment using data from manufacturing firms in China, Japan and the United States. We find that firms that use more debt capital are less likely to make overinvestment....