. We develop a repeated game in which banks come across each other frequently, allowing them to threaten a punishment in … case of free riding. As the number of lending banks grows, the chance of meeting again a bank and of being punished for … restructuring probability increases with the number of banks up to a threshold - three banks - beyond which coordination problems …

theory are in line with a number of empirical results, which seem to stay in contrast to existing theories on capital …

analysis provides an explanation for why some firms only use little debt financing. Predictions made by our theory are in line …

analysis provides an explanation for why some firms only use little debt financing. Predictions made by our theory are in line …