Corporate dollar debt and depreciations: All’s well that ends well?

نویسندگان

چکیده

This paper explores the effect of depreciations on investment when firms hold foreign currency debt. The employs a novel database stocks bonds issued by seven thousand from emerging economies in 2000–2015. results indicate that exert significant negative balance sheets. A depreciation 10 percent is associated with ratio capital expenditures to assets between 0.3 and 0.6 percentage points less for outstanding year following depreciation. result robust different inference techniques controlling large number potential confounders.

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ژورنال

عنوان ژورنال: Journal of Banking and Finance

سال: 2021

ISSN: ['1872-6372', '0378-4266']

DOI: https://doi.org/10.1016/j.jbankfin.2021.106185