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takes for large firms’ debt to reach its post-shock trough. Our findings challenge the view that propagation of shocks in …
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takes for large firms' debt to reach its post-shock trough. Our findings challenge the view that propagation of shocks in …
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This paper investigates the value of protective abandon put option from the equity holder's perspective of a large and a small company. Motivation for this topic arises from the perception that certain market imperfections related to corporate and personal taxes tend to favor a large firm and...
Persistent link: https://www.econbiz.de/10013104430
(SMEs) spanning 6 European countries from 2005 to 2015, to determine the impact of leverage and different sources of funding … on default risk. We find that financial leverage has a greater impact on the probability of default of SMEs than of large … corporations. The difference in default probability between the top and bottom leverage quartiles is 1.24% for large firms and 2 …
Persistent link: https://www.econbiz.de/10012898591
Do changes in the marginal tax rate of corporations affect their investment? Using a unique dataset on balance sheet and income of firms from 1956-2008 and a new measure of exogenous changes in corporations marginal tax rate, this paper shows that the investment response of large firms to a...
Persistent link: https://www.econbiz.de/10012849155