In this paper we argue that firms' financial distress should play a greater role in the macroeconomic analysis of the business cycle. We provide a nontechnical account of a general equilibrium model that exhibits financially-driven equilibrium cycles. We show that the empirical evidence is...

This article reviews the development of corporate finance from domestic analyses to international comparisons of financial systems, to comparative corporate governance, to law and finance, and most recently to politics and finance. It describes how both theoretical developments and empirical...

The purpose of this paper is to describe some central facts related to the relation between financial structure, banking, and investment-across countries. The main conclusions are in line with the previous studies: that banks play a central role in financing investment, and that Japanese banks...