We examine how firm and country heterogeneity shape the response of corporate investment in emerging markets to changes … the costs of external borrowing and (ii) a real options channel-reflecting firms' option values to delay investment. We … find evidence of the coexistence of both channels. Financially weaker firms reduce investment by more in response to higher …

Purpose: emerging economies lead advanced economies in world investment but lag advanced economies in innovation. We … emerging economies versus advanced economies and we compare total investment and the innovation-to-maintenance investment ratio … small uninsurable risks to the innovation process the model generates the counterfactual predictions of smaller investment …

The paper investigates the impact of foreign currency lending in the Hungarian corporate sector on real investment … cost and easing liquidity constraints – contributed to larger investment before the crisis. The second question focuses on … investment rate for firms with foreign currency loans. We try to separate and measure both the competitiveness and balance sheet …

studies the impact of an urban land titling program on firm investment. It finds that the program leads to increased … investment rate for titling firms, and the positive effect holds only for politically connected firms. The effects are likely …

taxes impair subsidiary-level investment efficiency. Consistent with internal agency conflicts between the central …-level investment efficiency while reducing the level of investment. Our paper provides timely empirical evidence to inform expectations …

-tax country induces bunching. Such bunching promotes investment incentives in the low-tax as well as the high-tax country. In … equilibrium, affiliates might over-invest and the bunching-related investment effects generate a tendency for too high profit … investment incentives and transfer pricing induces inefficiently low taxes. …