access to unsecured credit (because of bankruptcy costs) and aggregate shocks, we show that the cyclical behavior of … credit match the sizes of credit and bankruptcy volatilities. We also find that when the right to file for bankruptcy does …

lent first are given priority in any bankruptcy or restructuring proceedings. The goal of this paper is to incorporate …

In this paper, we ask how bankruptcy law affects the financial decisions of corporations and its implications for firm … dynamics. According to current U.S. law, firms have two bankruptcy options: Chapter 7 liquidation and Chapter 11 reorganization … to include both bankruptcy options in a general equilibrium environment. Finally, we evaluate a bankruptcy policy change …

variations in travel-related entry costs into the Canadian consumer bankruptcy system. Using detailed balance sheet and travel … bankruptcy (unsecured debt discharged, minus secured assets forgone). When compared across filers, each extra kilometer traveled … to access the bankruptcy system requires approximately $11 more in financial benefits from bankruptcy. {{p …

evaluate the 2005 bankruptcy law reform and other counterfactual reforms. The calibrated model indicates that the 2005 … bankruptcy reform achieves its goal of reducing the number of bankruptcy filings, as seen in the data, but at the cost of loss in …

evaluate the 2005 bankruptcy law reform. The calibrated model indicates that the 2005 reform reduces bankruptcies, as seen in …

We examine how household balance sheets and income statements interact to affect bankruptcy decisions following an …) reduces the count of bankruptcies, with fewer remaining filers having higher net balance sheet benefits of bankruptcy … lower net balance sheet benefits under bankruptcy law to select out of bankruptcy …

countercyclicality of bankruptcy filings found in U.S. data? Yes, it does, but only if we explicitly model recessions as displaying … bankruptcy risk discouraging households from using credit. This finding contradicts the intuition that access to credit helps …