Working paper/research report
Authors list: Smolny, Werner; Winker, Peter
Publication year: 1999
URL: https://nbn-resolving.org/urn:nbn:de:bsz:180-madoc-10387
Title of series: Discussion Papers, Institut für Volkswirtschaftslehre und Statistik
Number in series: 573
Firms may face financing constraints as a result of rational behaviour of potential lenders due to asymmetric information. In this article, a theoretical model of employment adjustment is developed to derive hypotheses on the short-run impact of financing constraints on employment at the firm level. A unique firm panel data set for German manufacturing is used to assess the empirical evidence for this model. The data comprise high frequency data on employment adjustment and explicit statements on the existence of financing constraints. The estimation results reveal that financing constraints reduce employment and increase employment changes.
Abstract:
Citation Styles
Harvard Citation style: Smolny, W. and Winker, P. (1999) Employment adjustment and financing constraints : A theoretical and empirical analysis at the micro level. (Discussion Papers, Institut für Volkswirtschaftslehre und Statistik, 573). Mannheim: Institut für Volkswirtschaftslehre und Statistik. https://nbn-resolving.org/urn:nbn:de:bsz:180-madoc-10387
APA Citation style: Smolny, W., & Winker, P. (1999). Employment adjustment and financing constraints : A theoretical and empirical analysis at the micro level. (Discussion Papers, Institut für Volkswirtschaftslehre und Statistik, 573). Institut für Volkswirtschaftslehre und Statistik. https://nbn-resolving.org/urn:nbn:de:bsz:180-madoc-10387
