We examine firms' simultaneous choice of investment, debt financing and liquidity in a large sample of US corporates … affect the corporate decisions of unconstrained firms more strongly than those of constrained firms. Investment-cash flow … sensitivities are particularly intense for unconstrained firms with high hedging needs. Investment opportunities (as proxied by Q …

Purpose: The purpose of this paper is to examine the impact of managerial optimism on corporate investment regarding … often overconfident an effort is made to highlight the effect of this psychological bias on managerial investment decision … – making. Design/methodology/approach: The research methodology is based on the approach that the investment-cash flow …

towards banks contracts the amount and maturity of corporate debt and leads firms to slow investment and forego growth …

This article tests the hypothesis that financial supply-side shifts help to explain the low-investment climate of …

This paper attempts to test whether financial supply-side shifts explain the low-investment climate of private firms in …

We employ a Bayesian estimation technique to construct firm-varying investment-cash flow sensitivities (ICFS) for a …

We examine investment behavior when firms face costs in the access to external funds. We find that despite the … existence of liquidity constraints, standard investment regressions predict that cash flow is an important determinant of … investment only if one ignores q. Conversely, we also obtain significant cash flow effects even in the absence of financial …

Bertola/Caballero (1994) and Abel/Eberly (1996) extended Jorgenson's classical model of firms' optimal investment. By … introducing investment frictions, they were able to capture the role of future anticipations in investment decisions as well as … the lumpy and intermittent nature of investment dynamics. We extend Jorgenson's model to the other direction of financing …

In this paper, we analyze the effect of financial uncertainty on corporate investment using firm-level panel data from … the Republic of Korea. We find that financial uncertainty has a significant negative effect on corporate investment, and … investment irreversibility amplify the negative effect of uncertainty. The inverted U-shaped curve of the uncertainty effect …