Hadlock, Charles J.; James, Christopher M. - In: Journal of Finance 57 (2002) 3, pp. 1383-1419
We study the decision to choose bank debt rather than public securities in a firm's marginal financing choice. Using a sample of 500 firms over the 1980 to 1993 time period, we find that firms are relatively more likely to choose bank loans when variables that measure asymmetric information...