The effects of sentiment should be strongest during times of heightened valuation uncertainty. As such, we document a … significant amplifying role for market uncertainty in the relation between sentiment and aggregate investment. A one …-standard-deviation increase in uncertainty more than doubles the effect of sentiment on investment. Moreover, allowing uncertainty …

This paper deals with capital budgeting decisions under uncertainty. We present an Aggregate Return On Investment (AROI …

financial frictions arising from asymmetric information, proxied by firms? liquidity and degree of uncertainty. Measures of … intrinsic and extrinsic uncertainty are derived from firms? daily stock returns and S&P 500 index returns along with a CAPM …. Financial frictions captured by interactions between firms? cash flow and both intrinsic and CAPM-based measures of uncertainty …

financial frictions arising from asymmetric information, proxied by firms' liquidity and degree of uncertainty. Measures of … intrinsic and extrinsic uncertainty are derived from firms' daily stock returns and S&P 500 index returns along with a CAPM …. Financial frictions captured by interactions between firms' cash flow and both intrinsic and CAPM-based measures of uncertainty …

We study the interactions of banks and ?rms within a leverage cycle to understand how capacity utilisation and capital … investment interact with funding costs, leverage by banks and ?rms, and liquidity. We show in a simulation study that when ?rms … levels, the real economy cycles around a leverage cycle. …

-level data from Denmark, this paper argues that the high leverage, which was build up by some firms before the crisis … significant effect of high leverage is present also in subsamples defined by industry, liquidity ratio, and geography. The effect … a separate leverage or 'balance sheet' channel in addition to the effects of other variables conventionally included in …

faced by corporates between investment and leverage. It also suggests that, should the estimated gap in net revenues …

countries. Using firm-level data from 2005-2014, we postulate a non-linear corporate leverage-investment relationship and derive … thresholds beyond which leverage has a negative and significant impact on investment. The investment sensitivity of debt …