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The precarious employment situation in the EU has given rise to public policies that aim at giving small and medium-sized enterprises (SMEs) better access to finance. SMEs may face difficulties due to information problems and other inefficiencies in loan markets. However, the European evidence...
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France's Ordonnance 2006-346 repudiated the notion of possessory ownership in the Napoleonic Code, easing the pledge of physical assets in a country where credit was highly concentrated. Using a differences-test strategy, we show that firms operating newly-pledgeable assets significantly...
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We exploit wrinkles of a contracting framework to show how access to collateral shapes the composition of corporate …
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use of collateral in bank loan contracts as well as the exist-ence of relational compared to arm's length lending. In this … paper we seek evidence for the-se hypotheses taking France and Germany as examples which differ significantly concerning the … neither confirm that a high priority for secured lenders explains an excessive use of collateral in bank loans nor that a …
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