This paper attempts to explore the effect of finance constraints by examining the propensity of firms to save cash out … allows for multiple sorting variables, does not require finance constraints to increase monotonically with the sorting … significantly higher CCFS in the event of finance constraints. …

Is the timing of a firm's large-scale investment (investment spike) affected by external finance constraints? We use … external finance constraints affect the hazard rate. Our results show that the firms which fall under industries heavily … external finance constraints delay the timing of investment spikes. Further, the estimated hazard rate is an increasing …

standards relax finance constraints and create a comparative advantage in innovative industries. Second, factor price … protection in the constrained sector can raise welfare by relaxing finance constraints if terms of trade effects are small …

finance constraints due to moral hazard, investment becomes sensitive to cash-flow and own equity of firms. We propose a …