Showing 1 - 10 of 2,950
We examine how credit constraints affect the cyclical behavior of productivity-enhancing investment and thereby volatility and growth. We first develop a simple growth model where firms engage in two types of investment: a short-term one and a long-term productivity-enhancing one. Because it...
Persistent link: https://www.econbiz.de/10013252334
The fact that large manufacturing plants export relatively more than small plants has been at the foundation of much … the effect of distance, distinct from any border effect. Export destinations tend to be further than domestic destinations …
Persistent link: https://www.econbiz.de/10013142550
As the exchange rate, foreign demand, production costs and export promotion policies evolve, manufacturing firms are … continually faced with two issues: Whether to be an exporter, and if so, how much to export. We develop a dynamic structural model … of export supply that characterizes these two decisions and estimate the model using plant-level panel data on Colombian …
Persistent link: https://www.econbiz.de/10013249348
-best production. The longer time needed for export shipments induces a tighter credit constraint on exporters than on purely domestic … fixed costs reduce exports on the extensive margin, but can be offset by collateral held by exporting firms. The empirical … reducing exports …
Persistent link: https://www.econbiz.de/10013127417
ventures have better export performance than private domestic firms in financially more vulnerable sectors. These results are …
Persistent link: https://www.econbiz.de/10013127980
Why do firms choose high debt when they anticipate high valuations, and underperform subsequently? We propose a theory of financing cycles where the importance of creditors' control rights over cash flows (“pledgeability”) varies with industry liquidity. The market allows firms take on more...
Persistent link: https://www.econbiz.de/10012965425
This paper investigates the determinants of inequality in human capital with an emphasis on the role of the credit constraints. We develop and estimate a model in which individuals face uninsured human capital risks and invest in education, acquire work experience, accumulate assets and smooth...
Persistent link: https://www.econbiz.de/10012966600
This paper examines the relationship between household income shocks and child labor. In particular, we investigate the extent to which transitory income shocks lead to increases in child labor and whether household access to credit mitigates the effects of these shocks. Using panel data from a...
Persistent link: https://www.econbiz.de/10013218344
When government expenditures exceed current tax revenues, the resulting deficit must be financed either by issuing bonds, which imply obligations to levy future taxes, or by creating high-powered money. The choice between money and bonds is often thought to be of great moment for both real and...
Persistent link: https://www.econbiz.de/10013222997
, financially advanced economies export a wider range of products and their exports experience less product turnover. Finally, while … development increases countries' exports above and beyond its impact on overall production. Firm selection into exporting accounts … for a third of the trade-specific effect, while two thirds are due to reductions in firm-level exports. Second …
Persistent link: https://www.econbiz.de/10013239959