We show that the extent to which government spending hinders private sector innovation is highly dependent on a firm's revenue sensitivity to consumer demand. The effects are stronger for firms that are more dependent on internal financing to fund innovative activity such as firms with high...

We examine the economic rationale for the use of investment banking syndicates in mergers and acquisitions. We find that syndicates are more likely to be hired in more complex transactions and in deals where acquirers have greater demand for external acquisition-related financing. Compared to...