We examine the impact of information asymmetry on a firm's choice between cash and credit lines for corporate liquidity … forecast error and dispersion, is negatively related to the use of lines of credit. Specifically, firms with more severe … information asymmetry are less likely to have access to bank credit lines. Concurrently, more transparent firms are more likely to …

We examine the impact of information asymmetry on a firm's choice between cash and credit lines for corporate liquidity … forecast error and dispersion, is negatively related to the use of lines of credit. Specifically, firms with more severe … information asymmetry are less likely to have access to bank credit lines Concurrently, more transparent firms are more likely to …