extent of fire-sale problems, and the severity of liquidity crises. In a basic framework with a single bank, we find that …

less favorable bank loan terms. Meanwhile, they accumulate more cash by issuing equity, selling assets, and reducing …

This paper reviews empirical evidence on the use of bank lines of credit as a source of corporate liquidity …

This paper investigates how firm-bank relationships affect corporate cash-holding behavior. Using bank loan and … financial statement data from emerging firms in Japan, we find that firms with concentrated bank relationships hold lower levels … of cash. Additionally, firms with such bank relationships have less propensity to save cash from their cash flows, but we …

rewards managers for pursuing risky strategies but fails to exact penalties for decision making that leads to bank failures …

We examine how banks affect firms' cash holdings by focusing on the soundness of banks in Japan, a bank-centered market … deterioration of bank soundness decreases bank-dependent firm investment and firm value. Cash holdings of bank-dependent firms … results, which are consistent with the financial constraint hypothesis and are inconsistent with the bank power hypothesis …