I examine acquisitions of private firms by public acquirers to better understand the effects of financial constraints on the division of economic gains in takeovers. Empirical tests exploit interstate bank branching deregulation, which relaxes financial constraints on private firms and can...

We develop a simple model of investment in business groups subject to moral hazard. Our model suggests that productivity and pledgeable income are the drivers of resources in the internal capital markets of these groups. This prediction can be use to explain on the grounds of efficiency some...

Contrary to the focus on the events of the last two years (2014-2015) associated with the accession of Crimea to Russia and military conflict in Eastern Ukraine, I stress here that serious changes in Russian internal politics (with strong pressure on political opposition, state propaganda and...

In this paper we describe the investment behavior of manufacturing firms in Italy between 1995 and 2013 and we investigate the most important factors leading to the decline in investment since 2008. We estimate an error correction model for investment using information on firms' demand...

How do firms' financial constraints, which restrict their borrowing, dynamically impact exports? This paper finds that after controlling for the endogeneity of financial constraints, constrained firms are less likely to export, and relaxing financial constraints leads to an increase in exports....

In this paper we disentangle the impact of household financial constraints on the mortgage rate from a number of dimensions of credit risk. The constraints employed in our analysis depend on the desired home value and not on the purchase price, as otherwise constraints would be specific to...