This study aims to investigate the variations in efficiency, technology gap, and profitability of flower producers depending on their credit constraint position. A total of 160 flower farmers have been selected from Bangladesh by using a multistage sampling technique. Meta-frontier Data...

In this paper, we study the effects of uncertainty shocks in a quantitative framework where firms in the corporate sector are constrained by credit. Specifically, we formulate borrowing constraints as a nested function that features both earnings and capital as alternative instruments for...

The study proposes a text-based index for financial constraints using the phrase-matching algorithm. The index captures the severity of financial constraints by calculating the percentage of constraint phrases in the annual report. Using robust validation, the study finds that the text-based...

How do individual wages adjust to changes in financial constraints at the firm-level and what does this imply about aggregate wage dynamics in recessions with tight financial constraints? We derive testable implications for different theoretical mechanisms and estimate these based on German...