We develop a model of investment with financial constraints and use it to investigate the relation between investment … between q and investment, relative to the frictionless benchmark. We present a calibrated version of the model, which, due to … this effect, generates realistic correlations between investment, q, and cash flow …

investment opportunities drive the cross-sectional variation in the post-liberalization investment increases …

countries. The cross-country income elasticity of establishment size is remarkably similar across sectors, about 0.3. We discuss …

We study how investors' preferences for robustness influence corporate investment, financing, and compensation … ambiguity aversion lowers Tobin's q; the average investment, and investment volatility. The entrepreneur values the project at …

We analyze private fixed investment in the U.S. over the past 30 years. We show that investment is weak relative to … two broad categories of explanations: theories that predict low investment because of low Q, and theories that predict low … investment despite high Q. We argue that the data does not support the first category, and we focus on the second one. We use …

Around the world, large corporations usually have controlling owners, who are usually very wealthy families. Outside … devices, a family can control corporations without making a commensurate capital investment. In many countries, such families …

, there is significant variation in the cross-section of stock returns of large banks across the world during that period. We …