Several studies use the investment - cash flow sensitivity as a measure of financing constraints while some others … subject to less financing constraints relative to independent firms.Our results show strong investment - cash flow … investment models and estimation techniques.We investigate this finding further by analyzing the influence of various firm …

This paper examines the relation between cash flow, corporate governance and fixed-investment spending. In perfect … investment in fixed assets. Aspects of corporate governance play an important role in both theories. We measure the impact of … cash flow on investment for a set of Dutch firms and aim to distinguish between the asymmetric information hypothesis and …

We investigate the investment-cash flow sensitivity of a large sample of the UK listed firms and confirm that … investment is strongly cash flow-sensitive.Is this suboptimal investment policy the result of agency problems when managers with … levels), reduce the cash flow sensitivity of investment via effective monitoring.Finally, financial institutions appear to …

This paper investigates whether investment spending of firms is sensitive to the availability of internal funds ….Imperfect capital markets create a hierarchy for the different sources of funds such that investment and financial decisions are not … independent.The relation between corporate investment and free cash flow is investigated using the Bond and Meghir (1994a) Euler …

feature for the firm's investment policies are investigated in an optimal control problem with distributed parameters.It turns … out that investing in capital goods of di¤erent age is done such that the net present value of marginal investment equals … zero.Comparing the returns of investment in capital goods of different age, the higher productivity of younger capital …

This paper considers the impact of investment cost asymmetry on the value and optimal real option exercise strategies … the level of asymmetry, a marginal increase in the investment cost of the firm with the cost disadvantage can increase … socially less desirable outcome than if one of the competitors has a significant investment cost disadvantage.Finally, we prove …