Trade credit is an important way of firm financing. Its habitualpractice and the excessive enlargement of the payment periods deteriorateprofitability of firms and even could affect the performance of the financialsystem. In spite of the relevance of this issue there are few empirical...

This paper makes some selective comparisons of the empirical evidence relating to financial discipline and soft budget constraints in the enterprise sector in China and the transition countries of Central and Eastern Europe and the former Soviet Union (CEEFSU). The paper finds that: (1) in both...

We take a retrospective look at Hungary's experiment with a particularly draconian bankruptcy law. For an eighteen-month period in 1992-93, the Hungarian bankruptcy code contained an unusual automatic trigger that required the managers of firms that held overdue debts of any size to any creditor...

Companies in a broad range of industries and economies rely heavily on external sources to finance their operations. But, external financing could be expensive and/or difficult to obtain due to imperfections in real capital markets. I focus on cash-constrained manufacturers that rely on external...

Magistro baigiamojo darbo tema yra aktuali, todėl, kad šiuolaikinėje ekonomikoje darbas atidėtų apmokėjimų principu tapo kasdieniu reiškiniu, tačiau įmonės savo pirkėjams taikydamos prekinius kreditus visuomet susiduria su rizika, kad debitorių įsipareigojimai nebus įvykdyti dėl...

The financing of agricultural producers is one of the most acute problems along the entire scope of economic reforms in Kazakhstan. The issue is: What kind of financial sources could maintain the development of agricultural production? Internal sources such as profit, depreciation capital, and...

The objective of this paper is to empirically detect credit rationing of Polish farms. Based on cross-sectional survey data and motivated by a microeconomic farm household model, this effort is pursued by a methodology consisting of three interrelated steps. These steps include the analysis of...

The Russian establishment- politicians, agricultural officials, corporate farm managers, the media- firmly believe that inadequate access to credit is one of the major factors constraining the growth of the agricultural sector. In technical terms, they in effect claim that Russian agriculture...

Empirical analysis of rural credit market failure has been of key scientific and political interest in recent years. The aim of this paper is to give an overview of various methods for measuring credit rationing of farms employed in the literature. Furthermore, based on a common analytical...

This paper addresses the question of financial constraints in Ukrainian agriculture intransition. The main objective is to reveal the evidence of the both phenomena, soft budgetconstraints and credit rationing, investigating investment behaviour of large farms in Ukraine.Our empirical analysis...