A unique legal reform in 2004 in Sweden redistributed collateral rights from banks holding floating liens to unsecured …, we document that a zero-sum redistribution of collateral rights and the resulting reduction in collateral capacity … towards banks contracts the amount and maturity of corporate debt and leads firms to slow investment and forego growth …

A unique legal reform in 2004 in Sweden redistributed collateral rights from banks holding floating liens to unsecured …, we document that a zero-sum redistribution of collateral rights and the resulting reduction in collateral capacity … towards banks contracts the amount and maturity of corporate debt and leads firms to slow investment and forego growth …

unsecured creditors. Using a country-wide panel of all registered firms, we document that the resulting reduction in collateral … capacity contracts the amount and maturity of corporate debt and leads firms to slow investment and forego growth. Altering …

In this paper, we investigate the economy-wide effects of the collateral channel by exploiting: (i) a legal reform in … Sweden in 2004 that reduced collateral values, and (ii) a dataset that covers all incorporated firms in Sweden over the … period 2000-2006. We find that the loss in collateral value reduces both the amount and the maturity of firm debt and leads …

We document sizeable and surprising differences in investment behavior between stock market listed and privately held … responsive to changes in investment opportunities compared to matched private firms, even during the recent financial crisis … that investment behavior diverges most strongly in industries in which stock prices are particularly sensitive to current …

We investigate whether short-termism distorts the investment decisions of stock market listed firms. To do so, we … compare the investment behavior of observably similar public and private firms using a new data source on private U.S. firms … compared to private firms, public firms invest substantially less and are less responsive to changes in investment …

have a significantly higher investment-cash flow sensitivity than comparable private firms. These differences in investment … agency-based explanation, since differences in investment-cash flow sensitivities can only be observed for the unexpected …. Our study adds a new aspect to the ongoing debate on the effect of a stock market listing on a firm's investment decisions …

We study the effects of uncertainty on corporate leverage adjustments with respect to investment spikes and find that … overlevered and underlevered firms behave very differently in response to the combination of uncertainty and investment spikes …

positive role in a firm’s investment policies, which is inconsistent with the notion of short-termism. Additionally, the degree … to which public markets encourage investment varies positively with countries’ institutional quality. We reconcile the …

This paper investigates investment behavior across public and privately held firms using a novel firm-level dataset. We … invest more than their non-listed counterparts. In addition, their investment decisions are significantly more sensitive to … changes in investment opportunities, and they respond more aggressively. These results constitute evidence rejecting the …