is that the creation of intangibles is largely achieved by human capital investment and requires lower upfront outlays … dilution. Our empirical evidence confirms that firms with higher intangible investment have lower upfront investment needs …. They make similar payouts as tangible investment firms, suggesting they are not on average more financially constrained …

The empirical investment literature provides evidence on financing constraints mostly by estimating investment cash … external capital and subsequent investment levels. Based on the theoretical findings, I provide empirical evidence from a … effect on the probability of being financially restricted. -- Capital Constraints ; Taxation ; Investment ; Cash Flow ; Firm …