Internal Capital Markets in Business Groups and the Propagation of Credit Supply Shocks

This book PDF is perfect for those who love Business & Economics genre, written by Ms.Yu Shi and published by International Monetary Fund which was released on 21 May 2019 with total hardcover pages 39. You could read this book directly on your devices with pdf, epub and kindle format, check detail and related Internal Capital Markets in Business Groups and the Propagation of Credit Supply Shocks books below.

Internal Capital Markets in Business Groups and the Propagation of Credit Supply Shocks
Internal Capital Markets in Business Groups and the Propagation of Credit Supply Shocks
Author : Ms.Yu Shi
File Size : 47,9 Mb
Publisher : International Monetary Fund
Language : English
Release Date : 21 May 2019
ISBN : 9781498314411
Pages : 39 pages
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Internal Capital Markets in Business Groups and the Propagation of Credit Supply Shocks by Ms.Yu Shi Book PDF Summary

Using business registry data from China, we show that internal capital markets in business groups can propagate corporate shareholders’ credit supply shocks to their subsidiaries. An average of 16.7% local bank credit growth where corporate shareholders are located would increase subsidiaries investment by 1% of their tangible fixed asset value, which accounts for 71% (7%) of the median (average) investment rate among these firms. We argue that equity exchanges is one channel through which corporate shareholders transmit bank credit supply shocks to the subsidiaries and provide empirical evidence to support the channel.

Internal Capital Markets in Business Groups and the Propagation of Credit Supply Shocks

Internal Capital Markets in Business Groups and the Propagation of Credit Supply Shocks by Ms.Yu Shi,Robert M. Townsend,Wu Zhu

Using business registry data from China, we show that internal capital markets in business groups can propagate corporate shareholders’ credit supply shocks to their subsidiaries. An average of 16.7% local bank credit growth where corporate shareholders are located would increase subsidiaries investment by 1% of their tangible fixed asset value, which accounts

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