Lemmon, Michael; Roberts, Michael R. - In: Journal of Financial and Quantitative Analysis 45 (2010) 03, pp. 555-587
We examine how shocks to the supply of credit impact corporate financing and investment using the collapse of Drexel Burnham Lambert, Inc.; the passage of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989; and regulatory changes in the insurance industry as an exogenous...