deposits. From the standpoint of theory in the tradition of Diamond and Dybvig (1983) and Green and Lin (2003), it is … assumption employed in the standard banking model is that returns are linear in the scale of investment. Instead, we assume the … existence of a fixed investment cost, so that a higher risk-adjusted rate of return is available only if investment exceeds a …

This paper examines the investment and financial decisions of a sample of 92 EU regulated utilities, taking into … independence matters for both investment and financial decisions. Investment increases under an Independent Regulatory Agency (IRA … privately controlled. Finally political orientation does matter, as firm investment increases under more conservative (pro …

This paper studies whether the monotonicity condition of the investment-cash flow sensitivity is satisfied empirically … investment-cash flow sensitivity, rejects the monotonicity condition for any common metric of financing constraints we use. The … testing procedure we propose reconciles the conflicting findings of the literature about the shape of the investment-cash flow …