This paper empirically investigates the effect of quot;informed financequot; on technological change. We argue that the theoretical literature offers conflicting predictions on whether the information of financiers fosters or impedes firms' innovation. Using data from a sample of Italian...

A growing empirical literature finds that the allocation of credit across firms is as important as its total volume for economic performance. This paper investigates the process through which credit is reallocated across US businesses employing the methodology developed by Davis and Haltiwanger...