Ellul, Andrew; Jappelli, Tullio; Pagano, Marco; … - C.E.P.R. Discussion Papers - 2012
In choosing transparency, firms must trade off the benefits from better access to finance against the cost of a greater … model’s predictions: First, investment and access to finance are positively correlated with accounting transparency …, especially in firms that depend more on external finance, and are negatively correlated with tax pressure. Second, transparency …