We study the influence of a major reform in financial reporting regulation on financing decisions. Across a battery of tests, we document an increase in the issuance of external financing around the new regime. Further, firms make different financing decisions around the new regulation depending on their ex-ante debt capacity, allowing them to adjust their capital structure. Our results are acc...

Three factors significantly influence profit repatriations by U.S. multinational firms: tax considerations, domestic financing and investment needs, and agency problems inside firms. Dividend repatriations are surprisingly persistent and resemble dividend payments to external shareholders. Tax considerations are influential but not decisive. Affiliates whose organizational forms carry differing...

We develop a model that endogenizes dynamic financing, investment, and cash retention/payout policies in order to analyze the effect of financial flexibility on firm value. We show that the value of financing flexibility depends on the costs of external financing, the level of corporate and personal tax rates which determine the effective cost of holding cash, the firm’s growth potential and it...

this study is related to an islamic project financing with a major focus on investigating the role of islamic finance in financing infrastructural development projects (toll roads, power plants, airports, and plants, as well as natural resource exploitation projects, such as hydroelectric dams, mining projects, oil and gas assets, and paper mills), especially in the context of pakistan. infrast...

New knowledge-based enterprises have several characteristics that limit their options for obtaining financing from external sources: they have little or no collateral, their assets tend to be intangible, and the value of their innovations is hard to calculate. For these reasons, entrepreneurs in the more knowledge-intensive fields tend to rely largely on equity financing. This is a more “patien...

For a large number of companies from a cross-section of countries, we analyze how company corporate governance practices, country regulatory regimes and their interaction affect companies’ valuation. We confirm that practices are crucial for efficient company functioning and shareholder protection, and consequently positively impact valuation. We find little positive valuation impact from count...

The purpose of this paper is to study the suitability of loan loss provision (LLP) of Iranian banks when the industry is dealing with earning management behaviors. This goal has been reached using a two-step approach to analyze the discretionary component of LLP and then examine the relevant factors. This empirical study uses an unbalanced panel data of 15 listed banks during the 2006-2017 peri...

This study empirically evaluates the certification and value-added roles of reputable venture capitalists (VCs). Using a novel sample of entrepreneurial start-ups with multiple financing offers, I analyze financing offers made by competing VCs at the first professional round of start-up funding, holding characteristics of the start-up fixed. Offers made by VCs with a high reputation are three t...