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Journal articles
Credit Constraints and the Cyclicality of R&D Investment: Evidence from Micro Panel data
Abstract : We use a French firm-level data set containing 13,000 firms over the period 1994-2004 to analyze the relationship between credit constraints and firms' R&D behavior over the business cycle. Our main results can be summarized as follows: (i) R&D investment is countercyclical without credit constraints, but it becomes procyclical as firms face tighter credit constraints; (ii) this result is only observed for firms in sectors that depend more heavily upon external finance, or that are characterized by a low degree of asset tangibility; (iii) in more credit-constrained firms, R&D investment plummets during recessions but does not increase proportionally during upturns.
https://hal-pjse.archives-ouvertes.fr/halshs-00754573
Contributor : Caroline Bauer <>
Submitted on : Tuesday, November 20, 2012 - 9:55:39 AM
Last modification on : Wednesday, October 14, 2020 - 3:46:47 AM
Contributor : Caroline Bauer <>
Submitted on : Tuesday, November 20, 2012 - 9:55:39 AM
Last modification on : Wednesday, October 14, 2020 - 3:46:47 AM
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