Akyildirim, Erdinç; Güney, I. Ethem; Rochet, Jean-Charles - In: Journal of Mathematical Economics 51 (2014) C, pp. 93-101
Several recent papers have studied the impact of macroeconomic shocks on the financial policies of firms. However, they only consider the case where these macroeconomic shocks affect the profitability of firms but not the financial markets conditions. We study the polar case where the...