The impact of debt restructuring on dynamic investment and financing policies

2021 ◽  
pp. 105583
Author(s):  
Yingxian Tan ◽  
Pengfei Luo
Keyword(s):  
Debt Restructuring ◽  
Financing Policies ◽  
Dynamic Investment ◽  
Investment And Financing ◽  
The Impact

COVID-19 impact will extend recession in Argentina

2020 ◽  
Keyword(s):  
Foreign Investment ◽  
Leadership Role ◽  
Domestic Consumption ◽  
Global Crisis ◽  
Debt Restructuring ◽  
Content Type ◽  
Fiscal Balance ◽  
Investment And Financing ◽  
The Government ◽  
The Impact

Subject The impact of COVID-19. Significance The first COVID-19 coronavirus case in Argentina was reported on March 3, a 43-year-old man who had returned from Italy. Thirteen days later, the number of cases climbed to 68, including two deaths. Though there are no domestic (non-traceable) cases yet, the government has hurried to implement social distancing measures, attempting to contain the spread and prevent a crisis such as that of Italy. Impacts The outbreak will hit the Argentine economy through trade, foreign investment and financing, tourism and domestic consumption. Politically, Fernandez may benefit from being seen to play a decisive leadership role. Given the impact of the global crisis, any economic rebound will be postponed, as well as the convergence to fiscal balance. Debt restructuring is likely to face delays and increased obstacles given international and domestic volatility.

The impact of debt restructuring on firm investment: Evidence from China

2019 ◽  
Vol 81 ◽  
pp. 325-337 ◽  
Author(s):  
Jinglu Jiang ◽  
Bo Liu ◽  
Jinqiang Yang
Keyword(s):  
Firm Investment ◽  
Debt Restructuring ◽  
The Impact

scholarly journals The impact of credit rationing on farmer’s economic equilibrium

2009 ◽  
Vol 55 (No. 11) ◽  
pp. 541-549 ◽  
Author(s):  
L. Čechura
Keyword(s):  
Capital Accumulation ◽  
Control Variable ◽  
Credit Rationing ◽  
Adjustment Costs ◽  
Investment Model ◽  
Economic Equilibrium ◽  
Dynamic Investment ◽  
Dynamic Optimization Model ◽  
Investment Spending ◽  
The Impact

The paper deals with the theoretical analysis of the impact of credit rationing on farmer’s economic equilibrium. The analysis is carried out based on the derived dynamic optimization model, which is the dynamic investment model with adjustment costs. The credit rationing is introduced by imposing an upper limit on the control variable, which is in this case represented by the investment spending. Then, the optimal control is used to solve the optimization problem in the situation of both with and without credit constraints. Finally, the situations without and with credit rationing are compared. The results show that the occurrence of credit rationing or in general financial constraints significantly determines the capital accumulation and investment decisions of farmers and as a result their supply functions.

scholarly journals Mapping the Legal Landscape: Chinese State-Owned Companies in Australia

2017 ◽  
Vol 48 (2) ◽  
pp. 323
Author(s):  
Roman Tomasic ◽  
Ping Xiong
Keyword(s):  
Corporate Governance ◽  
Trade Agreement ◽  
Business Community ◽  
Investment Projects ◽  
Chinese Investment ◽  
Foreign Countries ◽  
Australian Economy ◽  
Investment And Financing ◽  
Chinese State ◽  
The Impact

Australia has always relied heavily upon foreign sources of investment and financing and has in the past tended to draw mainly upon British, American and Japanese investment. In recent decades, Chinese state-owned enterprises (SOEs) have played an increasingly important role in the Australian economy with a rising level of investment taking place. Chinese SOEs have been more heavily involved in investments into larger Australian investment projects, such as in mining and infrastructure. Australia has seen an increase in the number of Chinese state-owned companies acquiring substantial domestic assets; this may continue following the ratification of the China-Australia Free Trade Agreement in 2015. Although Chinese SOEs operating in foreign countries such as Australia are required to comply with local corporate governance laws and principles, they also retain their unique Chinese corporate governance values and culture which they have inherited through their parent companies and from China itself. In Australia, there has been an ongoing debate over Chinese investment, with the business community being particularly supportive of such investment. Driven largely by the business community, this debate has been relatively narrow and has not explored the likely impact of Chinese SOEs and their subsidiaries upon the shape of corporate governance in countries in which they invest. This article seeks to examine the legal contours of Chinese-controlled investment in Australia with a view to acquiring a more informed understanding of the impact of Chinese SOEs upon the Australian legal landscape.

scholarly journals Venture financing in the era of increasing epidemiological risks

2021 ◽  
Vol 2021 (8) ◽  
pp. 68-80
Author(s):  
Mykhailo DYBA ◽  
◽  
Iuliia GERNEGO ◽  
Keyword(s):  
United States ◽  
The United States ◽  
Venture Capitalists ◽  
Financing Policies ◽  
Current Trends ◽  
Social And Economic Development ◽  
Venture Financing ◽  
Venture Funding ◽  
The Impact ◽  
First Time

The relevance of the study of venture financing development in the era of increasing epidemiological risks is considered within the current situation in society, namely the significant impact of COVID-19 on all sectors of social and economic development. This shows the urgency of a systematic justification of current trends and peculiarities of venture financing development, taking into consideration the COVID-19 situation. The above-mentioned aspects define the purpose of our study. The theoretical basis of our study means the analysis of the specifics and priorities of venture financing, considering the timeframe from venture financing formation to nowadays. Thus, the stages of evolution of views on venture financing are highlighted. The article examines the dynamics of venture financing globally, as well as the change of relevant indicators in Europe, Asia and the United States. In particular, along with the analysis of the total amount of venture financing in each of the considered markets, the volumes of venture financing agreements that were carried out for the first time were estimated. This allowed us to analyze the relevant trends and make conclusions on the priority objects for attracting the resources of venture investors in the era of growth of epidemiological risks, depending on the experience of venture capitalists. The article compares venture funding and the incidence of COVID-19 in some countries in Europe, Asia and the United States. The approaches of European experts to the assessment of the impact of COVID-19 on venture financing are revealed. The analysis of the relevant calculations provides the possibility to structure the priorities of modern venture investors depending on the sectoral distribution of COVID-19 influences. The practical value of the study is considered within a comprehensive analysis of trends in venture financing and assessment of changes in the priorities of venture investors, considering the increasing epidemiological risks. The research may be useful both in the context of developing public venture financing policies and within developing venture financing strategies at the business level.

The Impact of Explicit and Implicit State Taxation of U.S. Government Obligations on the Structure of Banks' Investment and Financing Portfolios

2001 ◽  
Vol 23 (2) ◽  
pp. 1-19 ◽  
Author(s):  
Anne Beatty ◽  
David G. Harris
Keyword(s):  
Lower Risk ◽  
District Of Columbia ◽  
Bank Regulation ◽  
Risky Assets ◽  
Tax Rate ◽  
Tax Effects ◽  
State Tax ◽  
Investment And Financing ◽  
State Taxation ◽  
The Impact

In this paper we examine the effects of differential state taxation of U.S. Government obligations (USOs) on how banks structure their investment and financing portfolios, the riskiness of banks' assets, and how implicit tax effects are impounded in investments' returns. Twenty-seven states tax USOs (taxing states) and 23 states and the District of Columbia do not (nontaxing states). We find that banks in taxing states hold significantly greater amounts of USOs, which are among the least risky assets banks can hold, and we find that these banks hold a less risky mix of assets. Consistent with compensating for the lower risk of their asset mix, we also find that these banks hold less capital. Taken together, these results are consistent with effective bank regulation enforcement, since banks have similar capital to risk-weighted asset ratios in spite of differing tax-based incentives to hold riskless assets. We also examine the impact of implicit taxes on banks' USO holdings and related accounts and find that in taxing states banks' USO investments are decreasing in their state tax rate. We also find corresponding increases in asset riskiness for which banks do not appear to fully compensate in the highest state-tax-rate states. Finally, the effects shown in this paper are economically significant. For example, we find that banks operating in taxing states hold, on average, 40 percent less USOs than do banks in nontaxing states.

The Impact of Tariff Regulation on Investment in Russian Electricity Distribution Sector

2016 ◽  
Vol 2016 (5) ◽  
pp. 69-91
Author(s):  
Yuliya Orlova ◽  
Olga Kadreva
Keyword(s):  
District Heating ◽  
Distribution Networks ◽  
Investment Model ◽  
Electricity Distribution ◽  
Explanatory Factors ◽  
Dynamic Investment ◽  
Distribution Sector ◽  
The Impact ◽  
Positive Effect

The paper investigates the mid-term results of the tariff regulation influence on the amount of capital expenditures in Russian electricity distribution sector. We estimate panel data with the dynamic investment model using system GMM method. We showed that horizon of tariff regulation period is statistically significant and transition from the short-term regulation to the long-term tariff system had positive effect on the amount of regulated companies’ investments. At the same time we found that the design of long-term regulation applied in Russia in 2009–2013 (type of RAB-regulation and long-term indexation) was not statistically significant to the amount of investments. All over all, the amount of investments in electricity distribution networks has similar to European peers explanatory factors. The obtained results are important to the further improvement of regulation in power energy and can be applied in district heating as well.

scholarly journals Working Capital Management Policies and Returns of Listed Manufacturing Firms in Ghana

2017 ◽  
Vol 64 (2) ◽  
pp. 255-269 ◽  
Author(s):  
Anokye M. Adam ◽  
Edward Quansah ◽  
Seyram Kawor
Keyword(s):  
Stock Exchange ◽  
Manufacturing Firms ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Financing Policies ◽  
Current Asset ◽  
Investment And Financing ◽  
Management Policies ◽  
Ghana Stock Exchange

Abstract This study sought to determine the effects aggressive/conservative current asset investment and financing policies have on firms′ return for six manufacturing firms listed at Ghana Stock Exchange for a period of 2000-2013. Data were obtained from the annual reports of the firms and the Ghana Stock Exchange. The study adopted longitudinal explanatory non-experimental research design applied to dynamic panel ARDL framework in analyzing the data. The results revealed that the current asset investment and financing policies have highly significant positive effects on returns to equity holders in the long-run. The empirical evidence suggests that conservative current asset investment policies increase firms return while conservative financing policies yields negative returns. The study therefore would enable finance managers to be able to fashion out the appropriate working capital management policies. A firm pursuing conservative current asset investment policy should balance it with aggressive current asset financing policy in order to enhance profitability and create value for their investors.

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