This paper examines whether the influence of investor protection on banks' risk is channeled through banking regulation, and vice-versa, using panel data from a sample of 567 European and US banks for the 2004–2015 period. As banking regulatory factors, we consider capital stringency, activity...

This paper examines the effect of wage variation on individual wages. The results reveal that wage variation by educational classifications positively affects wages, while the skewness has a negative effect. As has been referred in previous literature on the issue, both results are consistent...

This paper tests empirically the performance of three structural models of corporate bond pricing, namely Merton (1974), Leland (1994) and Fan and Sundaresan (2000). While the first two models overestimate bond prices, the Fan and Sundaresan model reveals an extremely good performance. When...

We present a real options model of a firm's make-or-buy decision under demand uncertainty. "Making" is subject to decreasing returns to scale, fixed costs and capital investment. "Buying" happens at a fixed price and requires no investment. Three distinct procurement regimes endogenously arise:...

This study aims to analyze the influence of the entrance of low-cost carriers in the Azores in terms of the determinants of the number of overnight stays and the choice of accommodation type. Different methods of statistical analysis were used for the empirical study. Estimates were considered...

This study contributes to the literature by identifying the most appropriate factor to detect and measure Financial Cycles, similar to Gross Domestic Product (GDP) for Business Cycles. Four financial variables were included in the study: Credit, House Prices, Share Prices and Interest Rates. The...

This article tests empirically the performance of three structural models of corporate bond pricing, namely Merton (1974), Leland (1994) and Fan and Sundaresan (2000). While the first two models overestimate bond prices, the Fan and Sundaresan model exhibits an impressively good performance....

This paper analyzes how capital structure and product market competition affect the firms' choice between outsourcing with long term contracts and outsourcing to the spot market. When outsourcing to the spot market firms are exposed to price uncertainty, whereas a long term contract allows them...

This paper investigates the effect of capital structure on a firm's choice between vertical integration and outsourcing. We model the production decision in a Principal-Agent framework and show that suppliers use debt as a strategic instrument to collect the surplus from outsourcing as their...