competition has first order effects on the cash holdings and financing decisions of constrained firms, in ways consistent with our …

We build a model of investment and financing decisions to study the choice between bonds and bank loans in a firm …'s marginal financing decision and its effects on corporate investment. We show that firms with more growth options, higher … issue bonds. We also demonstrate that, by changing the cost of financing, these characteristics affect the timing of …

choices are too small to explain financing decisions. We also show that by adding agency conflicts in the model and giving the …

Lending relationships matter for firm financing. In a model of debt dynamics, we study how lending relationships are … relationship lenders drastically affect the financing choices of firms with intermediate relationship quality …