This paper attempts to test whether financial supply-side shifts explain the low-investment climate of private firms in Germany. The core contention is that a firm's financial position contributes to its access to external finance on credit markets. Special emphasizes is put on small and...

This study examines the extent to which financing constraints affect the research and development (R&D) expenditure of Indian manufacturing firms during the period 1991–2011. Using dynamic R&D investment model, we find significant positive relationship between a firm's R&D expenditure and...

Depreciation expresses impairment of an asset and decreases its net book value stated in the balance sheet. It allows attributing purchase cost of an asset across its useful life and it is considered to be a financial resource. In the capital budgeting theory and practice in the Czech Republic...

This paper attempts to test whether financial supply-side shifts explain the low-investment climate of private firms in Germany. The core contention is that a firm's financial position contributes to its access to external finance on credit markets. Special emphasizes is put on small and...

Este trabajo analiza uno de los principales obstáculos que enfrentan las empresas colombianas a la hora de realizar inversiones enactividades de innovación. Los resultados señalan que las imperfecciones en los mercados de capitales generan que las inversiones enactividades de innovación en...

Focusing on a panel of unlisted firms from transition economies, we observe that only firms facing low irreversibility exhibit high and significant investment-cash flow sensitivities. Our findings provide a new explanation for why some financially constrained firms may exhibit low sensitivities.

Lack of financing is arguably the main obstacle for making profitable investments in transition economies. In this paper we investigate whether there is underinvestment due to financing constraints in Estonian manufacturing firms. Firm level panel data from 1995 through 1998 with several items...

Being a publicly listed firm is associated with costs and benefits related to investment, financing, and payout policies. To understand how a stock market listing influences the joint decisions on these corporate policies we analyze how European public and matched private firms adjust their cash...

Firm lifecycle theory predicts that the Weighted Average Cost of Capital (WACC) will tend to fall over the lifecycle of the firm (Mueller, 2003, p. 80-81). However, given that previous research finds that corporate governance deteriorates as firms get older (Mueller and Yun, 1998; Saravia, 2014)...

A q-theoretic model highlights the interaction of cash and valuations in explaining expected returns. Cash policy helps identify variation in valuations, with higher cash indicating a higher valuation. Higher cash also indicates a higher return when controlling for valuations, while controlling...