leverage and product-market competition as predictors of financial distress hazard; and lack of attention to frailty as a … a managerial effort problem, mitigated by leverage and product-market competition as substitute disciplining devices … effect of leverage on financial distress hazard is inverted-U-shaped; (ii) the effect of the competition is U-shaped; and …

empirical levels of investment, dividends, equity issuance in distress, leverage, debt duration, and liquidation …/bankruptcy. Firms with very low leverage carry a substantial cash/liquidity reserve. We extend the model to account for this.Our model … can address the ‘puzzles’, under which firms in general, and low leverage firms in particular, would seemingly benefit …

defaults turn into bankruptcies. We propose a theory based on three pillars: first, bankruptcy is costlier than out …

We study a rich dynamic-leverage model that includes (debt-issuance covenants, a debt floor/ceiling, and specially) a … fixed cost. When firms face financial but also operational leverage---the fixed cost, the firm's financial policies strongly …

We explore how trade credit complements cash holdings in product market competition. First, similar to cash to cash … show that both trade credit and cash holdings are strategically valuable in product market competition and their valuations … credit practices and product market competition. We also show that the value of trade credit depends on whether suppliers are …