Balance Sheet Effects in Colombian Non-Financial Firms

SSRN Electronic Journal ◽

10.2139/ssrn.2956703 ◽

2016 ◽

Author(s):

Adolfo Barajas ◽

Sergio Restrepo ◽

Roberto Steiner ◽

Juan Medellln ◽

CCsar Pabbn

Keyword(s):

Balance Sheet ◽

Financial Firms ◽

Balance Sheet Effects

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Balance Sheet Effects, Bailout Guarantees and Financial Crises

The Review of Economic Studies ◽

10.1111/j.1467-937x.2004.00308.x ◽

2004 ◽

Vol 71 (3) ◽

pp. 883-913 ◽

Cited By ~ 196

Author(s):

MARTIN SCHNEIDER ◽

AARON TORNELL

Keyword(s):

Financial Crises ◽

Balance Sheet ◽

Balance Sheet Effects

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Balance Sheet Effects, Growth, and Crises

Review of International Economics ◽

10.1111/j.1467-9396.2007.00683.x ◽

2007 ◽

Vol 15 (4) ◽

pp. 720-734 ◽

Cited By ~ 2

Author(s):

Rashmi Shankar

Keyword(s):

Balance Sheet ◽

Balance Sheet Effects

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Influence of shareholder equity on trade credit demand: The study of non-financial firms in Pakistan

R-Economy ◽

10.15826/recon.2021.7.1.006 ◽

2021 ◽

Vol 7 (1) ◽

pp. 61-67

Author(s):

Faiza Shah ◽

◽

Yumin Liu ◽

Yasir Shah ◽

Fadia Shah ◽

...

Keyword(s):

Trade Credit ◽

Random Effect ◽

Random Effect Model ◽

Balance Sheet ◽

Primary Source ◽

Financial Statements ◽

Equity Financing ◽

Financial Firms ◽

Effect Model ◽

Credit Demand

Relevance. Most small-sized firms have little or no access to credit markets, which is why they prefer equity financing and usually pay higher dividends on this equity. When paying higher dividends, these small-sized debt-free firms continue to build a reputation in the markets. Research objective. The analysis focuses on the trade payables that impact shareholder equity. In Pakistan, most of the businesses are small and middle-sized. Most of the Pakistani SMEs have a low capital structure and these enterprises depend on their daily business needs, so equity financing is their primary source of funding. Data and Methods. The data source for our study is the financial statements of non-financial firms (in total, 156 firms) from the balance Sheet Analysis (BSA) and the Financial Statement Analysis (FSA) published by The State Bank of Pakistan (SBP). The financial statements also provide the data listed by the Pakistan Stock Exchange (PSX). The data cover the period from 2001 to 2017. This study primarily relies on the panel data model. The study applied the methods of descriptive analysis, correlation matrix, common regression model, fixed effect model, random effect model and then the Hausman test was performed to choose the best model. Results. The results of the study indicate a positive and significant relationship between shareholder equity and trade credit demand. Conclusion. Many investors require trade credit as a suitable tool for the growth of shareholders of the company. It is also used in many types of business schemes as the shareholder equity factor plays a role in profit generation through the use of trade credit transactions.

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Systemic Sudden Stops: The Relevance of Balance-Sheet Effects and Financial Integration

Macroeconomics in Times of Liquidity Crises ◽

10.7551/mitpress/9780262035415.003.0008 ◽

2016 ◽

Author(s):

Guillermo Calvo ◽

Alejandro Izquierdo ◽

Luis-Fernando Mejía

Keyword(s):

Developing Countries ◽

Critical Point ◽

Foreign Exchange ◽

Financial Integration ◽

Balance Sheet ◽

Banking System ◽

Sudden Stop ◽

Balance Sheet Effects ◽

Tradable Goods ◽

The Relationship

Using a sample of 110 developed and developing countries for the period 1990-2004, the chapter claims that a small supply of tradable goods relative to their domestic absorption, and large foreign-exchange denominated debts towards the domestic banking system, denoted Domestic Liability Dollarization, are key determinants of the probability of Systemic Sudden Stop (3S). Moreover, the larger is financial integration, the larger is likely to be the probability of 3S; however, beyond a critical point the relationship gets a sign reversion.

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Structural Transformation, Deep Downturns, and Government Policy

The Oxford Handbook of Structural Transformation ◽

10.1093/oxfordhb/9780198793847.013.1 ◽

2019 ◽

pp. 34-44

Author(s):

Joseph E. Stiglitz

Keyword(s):

Government Policy ◽

Service Sector ◽

Balance Sheet ◽

Structural Transformations ◽

Government Policies ◽

Balance Sheets ◽

The Great Depression ◽

Balance Sheet Effects ◽

Limited Efficacy ◽

Economic Transformations

Most recessions are a result of some shock to the economic system, typically amplified by financial accelerators, and leading to large, persistent balance sheet effects on households and firms. Over time, however, the balance sheets get restored. Even banks recover. But episodically, the ‘shock’ is deeper. It is structural. Among advanced countries, such large economic transformations include the movement from agriculture to manufacturing (completed in the twentieth century), and the more recent movement from manufacturing to the service sector. The associated downturns are longer lasting. The usual tools for restoring growth, particularly monetary policy, are of only limited efficacy. Policies have to be designed to facilitate such transformations: markets on their own typically do not do well. This chapter explains why such transformations are associated with persistently high unemployment, and what kinds of government policies are needed. It looks at the lessons of the Great Depression both for the advanced countries and the developing countries today as they go through their structural transformations.

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Modeling African Economies

The Oxford Handbook of Africa and Economics ◽

10.1093/oxfordhb/9780199687114.013.33 ◽

2015 ◽

pp. 369-392

Author(s):

Andrew Berg ◽

Shu-Chun S. Yang ◽

Luis-Felipe Zanna

Keyword(s):

Low Income ◽

Capital Mobility ◽

Public Investment ◽

Large Population ◽

Balance Sheet ◽

Low Income Countries ◽

International Capital Mobility ◽

Fiscal Multipliers ◽

Balance Sheet Effects ◽

Dynamic Stochastic

This chapter presents a stylized framework for modeling African economies using the dynamic stochastic general equilibrium (DSGE) approach. We introduce several features relevant to low-income countries, including a large population without access to financial markets, restricted international capital mobility, low governance quality, and explicit central bank balance-sheet effects. The calibrated model can be useful in addressing important macroeconomic policy issues in many African economies. The applications presented here include (i) reserve accumulation policy responses to aid surges, (ii) government spending, financing schemes, and fiscal multipliers, (iii) management of natural resource revenues, and (iv) public investment surges and debt sustainability.

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