asset prices, GDP, consumption, investment and employment). When firms around the world benefit from unexpectedly low debt … subject to self-fulfilling variations in the world real interest rate. Those expectation-driven changes in the borrowing cost … internationally. Such a stylized model thus offers one way to rationalize both the existence of world business-cycle factor documented …

and investment high. It finds that the low cost of capital has been quantitatively an important factor. Theory predicts … rebalance growth towards relying more on consumption and less on exports and investment, banking sector reforms and financial …

frictions can have significant effects on maturity choices and investment. A policy intervention improves liquidity, reduce long …-term financial costs and promotes investment in longer-term projects …

We study the relationship between corporate debt, corporate risk and firm-level investment, using a sample of 25 …,000 listed companies across 47 countries over the last two decades. We find higher leverage reduces investment but show the … leverage observed during the last decade and as a result of the Covid-19 pandemic, physical investment is expected to remain at …

As a form of investment, the importance of capital reallocation between firms has been increasing over time, with the … purchase of used capital accounting for 25% to 40% of firms total investment nowadays. Cross- firm reallocation of used capital … frictions and endogenous movements in the distribution of rm-level TFP (or MPK) and interactions between used-capital investment …