Investment and dividends under irreversibility and financial constraints
نویسندگان
چکیده
منابع مشابه
Investment and Dividends under Irreversibility and Financial Constraints¤
Research ...nds that ...rms’ investment and dividend policies are distorted by irreversibility and ...nance constraints. Whereas the existing literature examines these features separately, this paper considers their interaction. The main theoretical result concerns the separation of the investment and payout thresholds. The ordering of investment and distribution activities is endogenously dete...
متن کاملInvestment, Irreversibility, and Financial Imperfections¤
Research ...nds that ...rms’ investment decisions are distorted by irreversibility and ...nance constraints. Whereas the existing literature examines the e¤ects of these features separately, this paper studies their interaction. The impact of these constraints on a ...rm’s incentive to invest is characterised using option pricing techniques. Financial constraints reduce the initial capacity, ra...
متن کاملFixed investment/fundamental sensitivities under financial constraints
While most models with financial market imperfections predict investment by financially constrained firms to be more sensitive to financial variables, contracting models argue that investment by such firms should be more sensitive to fundamental determinants of investment because fundamentals capture both investment opportunities and changes in the financial position. By first grouping U.S. man...
متن کاملEffects of Managerial Sentiments and Financial Constraints on Investment Sensitivity
Abstract: In the present study, managerial sentiment refers to the pleasant and optimistic feeling of the managers and decision makers in the companies. Optimism can be considered a spiritual state showing ones hope for the future. Talking about a company, it is the manger’s hope for future of the company. Accordingly, the present study examines effects of the managerial optimism on the relati...
متن کاملInvestment, R&d and Financial Constraints in Britain and Germany Investment, R&d and Financial Constraints in Britain and Germany
This paper tests for the importance of cash flow on investment in fixed capital and R&D using firm-level panel data in two countries between 1985 and 1994. For German firms, cash flow is not informative in simple econometric models of fixed investment or R&D. In identical specifications for British firms, cash flow is informative about investment, although not about the level of R&D spending co...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
ژورنال
عنوان ژورنال: Journal of Economic Dynamics and Control
سال: 2003
ISSN: 0165-1889
DOI: 10.1016/s0165-1889(01)00057-4