Buettner, Thiess; Overesch, Michael; Schreiber, Ulrich; … - In: Economics Letters 105 (2009) 3, pp. 309-311
The capital structure of foreign affiliates is analyzed using a large panel of German multinationals. While taxes are found to encourage debt finance in general, adverse local credit market conditions result in lower external borrowing but higher internal debt indicating that the two channels of...