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In response to the recent global financial crisis, the regulatory authorities in many countries have imposed stringent capital requirements in the form of the BASEL III Accord to ensure financial stability. On the other hand, bankers have criticized new regulation on the ground that it would...
Persistent link: https://www.econbiz.de/10011669026
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 …
Persistent link: https://www.econbiz.de/10012987210
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 …
Persistent link: https://www.econbiz.de/10012988608
-enhancing investment in relationship-specific assets by signalling creditworthiness and long-term planning horizon of their borrowers. We … empirically confirm this hypothesis by showing that industries dependent on relationship-specific investment from their suppliers …-specific investment ; growth …
Persistent link: https://www.econbiz.de/10009010059
relationship-specific investment. Then we empirically confirm this prediction by showing that industries dependent on relationship …-specific investment from their suppliers grow disproportionately faster in countries with a high level of financial development and in US …
Persistent link: https://www.econbiz.de/10013133692
Banks (but not stock markets) promote economic growth by facilitating relationship-specific investment between buyers …-specific investment motivate this economic channel: A supplier is reluctant to undertake relationship-specific investment as she cannot … from 28 industries in 90 countries confirm that industries dependent on relationship-specific investment from their …
Persistent link: https://www.econbiz.de/10013037905
-enhancing investment in relationship-specific assets by signalling creditworthiness and long-term planning horizon of their borrowers. We … empirically confirm this hypothesis by showing that industries dependent on relationship-specific investment from their suppliers …
Persistent link: https://www.econbiz.de/10013093852
We study the impact of PE firm and buyout characteristics on default probability employing a Cox proportional hazards model to a global sample of 5,093 buyouts between 1997 and 2012. Our results indicate that investments of generalists have lower default probability than those of specialists....
Persistent link: https://www.econbiz.de/10013025950
This paper analyzes firms' difficulties in accessing credit before and during the crisis, by focusing on two of their characteristics: financial fragility and growth prospects. Our econometric analysis indicates that fragile financial conditions were associated with a much higher than average...
Persistent link: https://www.econbiz.de/10013099614
Owners of private companies often invest a substantial share of their net worth in one company, which exposes them to idiosyncratic risk. For US companies we investigate whether owners require compensation for lack of diversification in the form of higher returns to equity. Exposure to...
Persistent link: https://www.econbiz.de/10003922530