cultural heterogeneity, the world's geographical fragmentation by ethic and religious traits, at any given time. Finally, the …

Over the past decade, a number of researchers have extended conventional models of business fixed investment to … incorporate a role for financial constraints' in determining investment. This paper reviews developments and challenges in this … challenges. First, I describe analytical underpinnings of models of capital-market imperfections in the investment process, and …

We examine the neoclassical investment model using a panel of U.S. manufacturing firms. The standard model with no … for firms with low (pre-sample) payouts (firms we expect to face financing constraints). Hem, investment is sensitive to … both firm cash flow and macroeconomic credit conditions, holding constant investment opportunities. Sample splits based on …

This paper estimates a dynamic structural model of discrete R&D investment and quantifies its cost and long-run benefit … expected firm value generated by the R&D investment. It increases firm value by 6.7 percent for the median firm in high … innovation significantly raise investment rates and productivity while reductions in startup costs have little effect …