We document that shareholders of high-yield firms are less sensitive to credit rating downgrades the higher the proportion of bank financing in the firm. This positive effect is linked to firm behavior. In the year after the downgrade, high-yield firms with large bank debt ratios i) need to...

This paper documents significant differences in the financing structure of small firms with managers of diverse cultural backgrounds. To separate the effect of culture from other factors that affect the financing structure of firms, we exploit cultural heterogeneity within a geographical area...

Since 2013, The Order of St John Award for Organ Donation is offered to the families of deceased solid organ donors in the United Kingdom to honor the donors and inspire others to donate. We evaluate the effects of this award using a difference-in-differences approach that builds on the fact...

We document significant differences in the financing structure of small firms with managers of diverse cultural backgrounds. To isolate the effect of culture, we exploit cultural heterogeneity within a geographical area with shared regulations, institutions, and macroeconomic cycles. Our...

We exploit the exogenous COVID-19 shock in a bicultural area of Italy to identify cultural differences in the way companies respond to economic shocks, and in their resilience to those shocks. Firms with managers of diverse cultural backgrounds resort to different forms of government aid,...