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Asymmetric Effects of the Financial Crisis [electronic resource] : Collateral-Based Investment-Cash Flow Sensitivity Analysis, Khramov, Vadim.

Author/Creator:
Khramov, Vadim.
Publication:
Washington, D.C. : International Monetary Fund, 2012.
Series:
IMF eLibrary
IMF Working Papers; Working Paper No. 12/97.
IMF Working Papers; Working Paper No. 12/97
Format/Description:
Government document
Book
1 online resource (28 p.)
Local subjects:
Asset management.
Bond.
Capital.
Cash flow.
Cash flow increases.
Cash flows.
Derivative.
Economic models.
Equity market.
Financial crisis.
Financial economics.
Financial markets.
Financial resources.
Global financial crisis.
Global Financial Crisis. -- 2008-2009
Investment-cash flow sensitivities.
Investment-cash flow sensitivity.
Partial derivative.
Pre-crisis.
Stock of capital.
Korea, Republic of.
United States.
Summary:
This paper uses the financial crisis of 2008 as a natural experiment to demonstrate that when measuring investment-cash flow sensitivity, the value of a firm''s assets that can be used as collateral should be taken into account. Using panel data on U.S. firms from 1990 to 2011, it was found that the share of physical capital in assets has a strong influence on investment-cash flow sensitivity, which decreased substantially after the crisis when banks changed their expectations about the value of assets on firms'' balance sheets. This paper deepens our understanding of firms'' investment behavior.
Notes:
Description based on print version record.
Contributor:
Khramov, Vadim.
Other format:
Print Version:
ISBN:
1475502877:
9781475502879
ISSN:
1018-5941
Publisher Number:
10.5089/9781475502879.001
Access Restriction:
Restricted for use by site license.
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