firms' investment is funded using financial markets. I then construct a dynamic equilibrium model that matches these … of financial assets, directing funds towards investment opportunities, and charge an intermediation spread to cover their … investment volatility …

, we investigate the differential investment propensities of public and private firms. Re-weighting the data to generate …, particularly in R&D. Exploiting within-firm variation in public status, we find that firms dedicate more of their investment to R … greater investment, on average, particularly in risky, uncollateralized investments …

trace out firms' investment and growth trajectories in response to a credit supply shock. Financially shocked firms exhibit … a temporary investment gap for two years, resulting in a persistent accumulated growth gap six years after the crisis …. Shocked firms with rigid wages exhibit a significantly steeper drop in investment and an additional long-run growth gap …