We use a sample of small firms to compare efficiency aspects of the creditor oriented old (pre-1993) Finnish bankruptcy code and the debtor oriented US code. We find that although the same economic factors affect liquidations in both the US and Finland, under the Finnish code firms are somewhat...

We use a sample of small firms to compare efficiency aspects of the creditor-oriented old Finnish bankruptcy code and the debtor-oriented US code. We find that although the same economic factors affect liquidations in both the US and Finland, Finnish firms are somewhat more likely to be...