Campello, Murillo; Hackbarth, Dirk - In: Journal of Financial Intermediation 21 (2012) 3, pp. 446-472
investment. Using a dynamic model, we characterize this effect — which we call firm-level credit multiplier — and show how asset … manufacturers over the 1971–2005 period as well as simulated data, we find support for our theory’s tangibility–investment channel …We study the effect of asset tangibility on corporate financing and investment decisions. Financially constrained firms …
