This paper investigates the impact of interest rate liberalization on corporate green investment by taking the cancellation of the lower limit of the loan interest rate of financial institutions by the People's Bank of China in July 2013 as an exogenous quasi-natural experiment. We find that the...

In this paper, we investigate the effect of accounting biases on firms' financing decisions and the role of accounting biases in endogenous information quality. We show that in industries with generally low-profit prospects, a downward-biased accounting system performs better than a neutral...

In this study we examine whether imposing a penalty based on an earlier positive signal and a bad realized outcome can be welfare-improving. We find that imposing a penalty helps to improve investment efficiency, but it also brings a deadweight cost of potential penalty for entrepreneurs with...