Corporate Finance
Session 1: Difference in difference and Matching, see Duflo
Session 2 (May, 3rd) : Finance and growth, see Lecture1_296.pdf from Sraer
(*) King & Levine, “Finance and Growth: Schumpeter May be Right,” Quarterly Journal of Economics 108, 1993.
(*) Rajan & Zingales, “Financial Dependence and Growth,” American Economic Review 88, 1998
(*) Bertrand, Schoar & Thesmar, "Banking Deregulation and Industry Structure: Evidence from the French Banking Reforms of 1985," Journal of Finance, 2007
(*) Jayaratne & Strahan, "The Finance‐Growth Nexus: Evidence from Bank Branch Deregulation," Quarterly Journal of Economics 111, 1996.
(*) Cetorelli & Strahan, “Finance as a Barrier to Entry: Bank Competition and Industry Structure in Local U.S. Markets”, Journal of Finance, 61, 2006
(*) Black & Strahan, “Entrepreneurship and Bank Credit Availability”, Journal of Finance, 57, 2002.
(*) Kalemli-Ozcan, Sørensen& Yosha, “Risk Sharing and Industrial Specialization: Regional and International Evidence” The American Economic Review, 93, 2003.
(*) Rauh “Investment and Financing Constraints: Evidence from the Funding of Corporate Pension Plans”, Journal of Finance 61, 2006.
Public Policies: Improving Access to Finance
Banerjee & Duflo, “Do Firms want to borrow more ? Testing Credit Constraint Using a Directed Lending Program”, Mimeo, 2004.
Lelarge, Sraer & Thesmar, “Entrepreneurship and Credit Constraint: Evidence from a French Loan Guarantee Program”, Mimeo, 2008
Bilal, “Export incentives, financial constraints and the (mis)allocation of credit: micro‐level evidence from subsidized export loans”, Journal of Financial Economics, 2007.
Paravisini, “Local Bank Financial Constraints and Firm Access to External Finance”, Journal of Finance, Forthcoming.
Butler, A. W., and J. Cornaggia, 2009, Does Access to External Finance Improve Productivity? Evidence from a Natural Experiment, Journal of Financial Economics
Tor-Erik Bakke 2009 How does Finance Affect Growth? Evidence from a Natural Experiment in Venezuela
Vig, V., 2007, .Access to collateral and corporate debt structure: Evidence from natural experiment,.Working paper, London Business School.
AI Khwaja, A Mian - 2008 Tracing the Impact of Bank Liquidity Shocks: Evidence from an Emerging Market American Economic Review,
AI Khwaja, A Mian 2005 Do Lenders Favor Politically Connected Firms? Rent Provision in an Emerging Financial Market - The Quarterly Journal of Economics, 2005 - MIT Press
Chang, Chun
Session 2 (May, 24th) : Internal Investment (Review of the lecture)
Survey
Stein. (2003), “Agency, Information and Corporate Investment,” in: G. Constantinides, M. Harris and R. Stulz (eds.), Handbook of the Economics of Finance, Amsterdam, North‐Holland.
Fazzari, S. M., R. G. Hubbard and B.C. Petersen (1988), “Financing Constraints and Corporate Investment,” Brookings Papers on Economics Activity, pp. 141-195.
Papers
Modigliani & Miller (1958), “The Cost of Capital, Corporation Finance, and the Theory of
Investment,” American Economic Review 48, pp. 261‐297.
Miller (1977), “Debt and Taxes,” Journal of Finance 32, pp. 261‐275.
Miller (1988), “The Modigliani‐Miller Propositions After 30 Years,” Journal of Economic
Perspectives 2, pp. 99‐120. Brookings Papers on Economics Activity, pp. 141‐195.
(*) Kaplan & Zingales (1997), “Do Investment‐Cash Flow Sensitivities Provide Useful Measures of
Financing Constraints?” Quarterly Journal of Economics 112, pp. 159‐216.
(*) Rauh (2006), “Investment and Financing Constraints: Evidence from the Funding of Corporate
Pension Plans,” Journal of Finance 61, pp. 33‐71.
(*) Lamont (1997), “Cash Flow and Investment: Evidence from Internal Capital Markets,” Journal
of Finance 52, pp. 83‐109.
Blanchard, Lopez‐de‐Silanes & Shleifer, Andrei (1994), “What do firms do with cas windfalls?”
Journal of Financial Economics 36, pp. 337‐360.
(*) Chaney, Sraer & Thesmar (2008), “The collateral channel: how real estate shocks affect
corporate investment”, HEC working paper.
(*) Malmendier, Ulrike and Geoffrey Tate (2005), “CEO Overconfidence and Corporate
Investment”, Journal of Finance 60, pp. 2661‐2700
(*) Almeida, Campello & Weisbach, “The Cash Flow Sensitivity of Cash”, Journal of Finance, 52,
2004.
Bates, Kahle & Stulz, “Why do US Firms hold so much more cash than they used to ?”, NBER
Working Paper 12534, 2006.
(*) Riddick & Whited, “The Corporate Propensity to Save”, Mimeo, 2007.
Session 3 (June, 7th) : Corporate governance