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corporate bonds but also credit risk. The latter effect originates from firms' debt rollover. When liquidity deterioration … rollover risk …
Persistent link: https://www.econbiz.de/10013134359
This paper models a firm's rollover risk generated by conflict of interest between debt and equity holders. When the …
Persistent link: https://www.econbiz.de/10013148863
. We also find that the inverse relation between credit spreads and risk free rate that structural models usually predict …
Persistent link: https://www.econbiz.de/10013115613
increased moderately. This de-leveraging effect is stronger for firms exposed to significant rollover risk, while firms whose …
Persistent link: https://www.econbiz.de/10012796218
-levering procedure is around for the case of risk-free debt. The procedure for risky debt is much less clear even under very simplifying …
Persistent link: https://www.econbiz.de/10012256377
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risk builds up, and a disclosure regime might consistently inducebetter beliefs but imply larger financing costs …
Persistent link: https://www.econbiz.de/10012855836
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This paper analyses the role of collateral in loan contracting when companies are financed by multiple bank lenders and relationship lending can be present. We conjecture and empirically validate that relationship lenders, who enjoy an informational advantage over arm's-length banks, are more...
Persistent link: https://www.econbiz.de/10009767124
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