Finance and Economics Discussion Series: Financing Constraints, Firm Dynamics, and International Trade

Verani, Stephane; Gross, Till

ISBN 10: 1288698437 / ISBN 13: 9781288698431

Published by Bibliogov, 2013

About this Item

Seller Inventory # I-9781288698431

Bibliographic Details

• Title: Finance and Economics Discussion Series: Financing Constraints, Firm Dynamics, and International Trade
• Publisher: Bibliogov
• Publication Date: 2013
• Language: English
• ISBN 10: 1288698437
• ISBN 13: 9781288698431
• Binding: Soft cover
• Condition: New

About this title

Synopsis

There is growing empirical support for the conjecture that access to credit is an important determinant of firms' export decisions. We study a multi-country general equilibrium economy in which entrepreneurs and lenders engage in long-term credit relationships. Financial constraints arise in consequence of financials contracts that are optimal given information asymmetry. Consistent with empirical regularities, as firm age and size increase, the model implies decreasing mean and variance of fi rm growth and increasing fi rm survival. Exporters are larger, their survival in international markets increases with the time spent exporting, and the sales of older exporters are larger and more stable.