How do firms finance their investment? To what extent does the financing mix depends on the nature or the size of … investment? To what extent does the funding mix of investment vary along firm size? Relying on a unique database of firms … picture of the financial resources used by firms to finance their investment.We uncover significant cross …

the difference in the assessment of the company's investment capacity based on internal financing sources, which are …

-equation model in which firms make interdependent decisions in financing, investment, and distribution, under the constraint that … and debt for R&D financing. R&D and physical capital investment are likely to be complementary for mature, but not for …

We examine firms' simultaneous choice of investment, debt financing and liquidity in a large sample of US corporates … affect the corporate decisions of unconstrained firms more strongly than those of constrained firms. Investment-cash flow … sensitivities are particularly intense for unconstrained firms with high hedging needs. Investment opportunities (as proxied by Q …

Bertola/Caballero (1994) and Abel/Eberly (1996) extended Jorgenson's classical model of firms' optimal investment. By … introducing investment frictions, they were able to capture the role of future anticipations in investment decisions as well as … the lumpy and intermittent nature of investment dynamics. We extend Jorgenson's model to the other direction of financing …

Investment characteristics and the form of external financing are linked. Factor analysis indicates that the principal … determinant of the financing choice is whether an investment's payoffs can be described as a hit or miss. Hit-or-miss investments … are more likely to be equity financed. Equity also becomes more common the longer the time until an investment produces …

This paper investigates how firms manage their cash savings, financing, and investment when aggregate uncertainty is …, investment irreversibility, and time-varying risk premia. In my model, firms have a precautionary-savings motive and real options …

Does corporate debt overhang affect investment over the medium term? To better uncover this association, I argue that … investment: a 10 p.p. increase in the three-year change in the leverage ratio is associated with 5% lower capex investment after …

Does corporate debt overhang affect investment over the medium term? To uncover this association, I measure debt … to cut permanently back on investment: a 10 percentage point increase in the three-year change in the leverage ratio is … associated with lower investment growth of 5 percentage points after five years compared to the most resilient firms. I also find …

investment methods, and reallocation policies in internal capital markets. CFOs see the main financial benefits of being …