Asymmetric information, corporate finance, and investment / edited by R. Glenn Hubbard.

Format:

Book

Contributor:

Hubbard, R. Glenn.

Series:

Project report (National Bureau of Economic Research)

A National Bureau of Economic Research project report

Language:

English

Subjects (All):

Corporations--Finance--Congresses.

Corporations.

Investments--Mathematical models--Congresses.

Investments.

Securities--Congresses.

Securities.

Physical Description:

1 online resource (ix, 343 pages) : illustrations

Edition:

1st ed.

Place of Publication:

Chicago : University of Chicago Press, 1990.

Language Note:

English

Summary:

In this volume, specialists from traditionally separate areas in economics and finance investigate issues at the conjunction of their fields. They argue that financial decisions of the firm can affect real economic activity-and this is true for enough firms and consumers to have significant aggregate economic effects. They demonstrate that important differences-asymmetries-in access to information between "borrowers" and "lenders" ("insiders" and "outsiders") in financial transactions affect investment decisions of firms and the organization of financial markets. The original research emphasizes the role of information problems in explaining empirically important links between internal finance and investment, as well as their role in accounting for observed variations in mechanisms for corporate control.

Contents:

Frontmatter

Contents

Acknowledgments

Introduction

1. Macroeconomic Models with Equity and Credit Rationing

2. Collateral, Rationing, and Government Intervention in Credit Markets

3. Do Firms Care Who Provides Their Financing?

4. Bank Monitoring and Investment: Evidence from the Changing Structure of Japanese Corporate Banking Relationships

5. Sustaining Investment, Discretionary Investment, and Valuation: A Residual Funds Study of the Paper Industry

6. Are Large Shareholders Effective Monitors? An Investigation of Share Ownership and Corporate Performance

7. Economic and Financial Determinants of Oil and Gas Exploration Activity

8. AIL Theory and the Ailing Phillips Curve: A Contract-Based Approach to Aggregate Supply

9. Liquidity Constraints in Production-Based Asset- Pricing Models

10. Understanding Stock Price Behavior around the TIme of Equity Issues

11. Investment, Financial Factors, and Cash Flow: Evidence from U.K. Panel Data

12. Financial Systems, Corporate Finance, and Economic Development

Contributors

Discussants and Other Participants

Author Index

Subject Index

Notes:

Papers presented at an NBER conference held in Cambridge, May 5-6, 1989.

Includes bibliographical references and index.

ISBN:

9786612069956

9781282069954

1282069950

9780226355948

0226355942

OCLC:

435816429