makes bankruptcy costly for employees. This paper examines whether firms take these costs into account when deciding on the … probability of bankruptcy by operating with lower debt ratios. Moreover, we observe that firms with better employee track records …

This paper examines the performance of two commonly applied bankruptcy prediction models, the accounting ratio … distinguish companies most likely to file for bankruptcy from those least likely to file for bankruptcy as measured by the … Accuracy Ratio2. The cardinal ability of each model to predict bankruptcy as measured by the bankruptcy rate of healthy …

seek to preserve financial stability and ensure continuity of critical functions. The same cannot be said of insolvency …, insolvency law has largely remained microprudential and reactive.Admittedly, unlike bank failures, corporate insolvencies usually … trigger contagion and cause disruptive consequences. Insofar as insolvency of SNFEs raises concerns common to bank failures …

design of evidence-based policies in the presence of market failures, for example optimal bankruptcy laws. We believe our …

Employees bear significant costs in bankruptcy. Theoretical models predict they will accept lower wages in the face of …