haku: @indexterm credit / yhteensä: 493
viite: 8 / 493
| Tekijä: | Becchetti, L. Castelli, A. Hasan, I. |
| Otsikko: | Investment-cash flow sensitivities, credit rationing and financing constraints in small and medium-sized firms |
| Lehti: | Small business economics
2010 : NOV, VOL. 35:4, p. 467-497 |
| Asiasana: | cash flow risk credit companies small business empirical research financial statements |
| Kieli: | eng |
| Tiivistelmä: | The controversy on whether investment-cash flow sensitivity indicates financing constraints well is still unsolved. A comprehensive approach is applied here by cross-validating the analysis with both balance sheet and qualitative data on self-declared credit rationing and financing constraints on a sample consisting mainly of small and medium-sized firms. The qualitative information shows that (self-declared) credit rationing has a (weak) relationship to both traditional a priori factors - such as firm size, age and location - and lenders' rational decisions on the basis of their models of credit risk. We use the qualitative information on firms which were denied (additional) credit to get relevant evidence to the investment-cash flow sensitivity mystery. The evidence indicates that self-declared credit rationing significantly discriminates between firms possessing or not possessing such sensitivity, while a priori criteria do not. The same result does not apply when the wider group of financially constrained firms are considered (which do not seem to have a higher investment-cash flow sensitivity), supporting the latest empirical evidence in this direction. |
SCIMA