We show that credit supply shocks have a strong impact on firm-level as well as aggregate investment by applying the … are found to impair firm-level investment in all firms in our sample, but in particular for small firms and those with no … 20–40% of aggregate investment dynamics. …

We test whether firms with a single bank are better shielded from loss of credit and investment cuts in periods of … adverse cash flow shocks than firms with multiple bank relationships. Our estimates of the cash flow sensitivity of investment … shocks. In these periods, firms incur lower cuts in investment expenditures when they can obtain extra credit. In periods of …

firm characteristics - Tobin's Q, past investment, earnings-price ratios, market betas, and idiosyncratic volatility of … returns by aggregate investment and valuation ratios; and v) a downward sloping term structure of risk premia for dividend … strips. Our model delivers testable predictions about the behavior of firm-level real variables - investment and output …

The ifo Investment Survey asks firms in the German manufacturing sector about the importance of sales, technological … factors, finance, return expectations, and macroeconomic policy for their investment activity in a given year. We show that … these subjective investment determinants 1) capture economically what their labels suggest, and 2) have strong explanatory …

We show that supply-side financial shocks have a large impact on firms' investment. We develop a new methodology to … of aggregate loan and investment fluctuations …

investment changes under lower levels of information asymmetry. To identify the treatment effect of the information shock, I …This study exploits the mandatory adoption of International Financial Reporting Standards (IFRS) as an exogenous shock …-2010. I first show that the information shock mitigates information asymmetry. Then, I find that the constraining effect of …

We empirically examine the effect of exposure to temporary and persistent cash flow shocks on firm investment and its … link with cash holdings. Theoretical models demonstrate that an expectation channel drives a wedge between the investment …