, generous tax depreciation allowances lead to a decrease in a firm's leverage and, in most cases, cause a reduction in default …

leverage and profitability, iii) the existence of asymmetric information in credit markets, iv) the screening activity of …

show that: an increase in risk sharply reduces leverage and slightly decreases a MNC's value; the cost of TP leads to a … sharp reduction in the MNC's value, whereas it does not affect leverage; the impact on MNC's decisions is increasing in the … tax rate differential; finally, the cost of DS has always a relevant impact on both MNC’s value and leverage. …

firms. Unconditionally, the most exible-price firms have a 19% higher long-term leverage ratio than the most sticky …-price firms, controlling for known determinants of capital structure. Sticky-price firms increased leverage more than exible …

banks. We show competitive equilibria are efficient and the equilibrium level of leverage in banks and firms depend on the …