A European Perspective on the US Plans for a Destination Based Cash Flow Tax

2017 ◽  
Author(s):  
Johannes Becker ◽  
Joachim Englisch
Keyword(s):  
Cash Flow ◽  
European Perspective ◽  
The Us

Central European defence cooperation will increase

2016 ◽  
Keyword(s):  
Central Europe ◽  
European Perspective ◽  
Content Type ◽  
Central European ◽  
Eu Integration ◽  
The Us ◽  
Angela Merkel ◽  
The Creation ◽  
Defence Cooperation ◽  
First Time

Subject The Central European perspective on greater EU cooperation in defence. Significance The proposal on August 26 by German Chancellor Angela Merkel and the leaders of the Central European 'Visegrad Four' (V4) countries for the creation of a European army was the first time such a clarion call had been made collectively by EU leaders, as opposed to the more modest idea of developing European defence cooperation and capability. It is surprising that Poland was part of the initiative, given its commitment to NATO and trans-Atlantic relations, which are often taken as a reason to oppose further EU integration. Impacts Brexit has brought forth a variety of proposals to strengthen the EU's military arm. However, political and operational challenges mean that neither deeper cooperation nor a full EU army will be achieved easily, if ever. Insecurity about Russia and the US NATO commitment to Central Europe underlie the call, but cannot be meaningfully addressed soon. Poland will remain staunchly pro-NATO but must prepare for defence alternatives that can include EU forces.

Do financial constraints affect the sensitivity of investment to cash flow? New evidence from franchised restaurant firms

2018 ◽  
Vol 24 (6) ◽  
pp. 645-661 ◽  
Author(s):  
Kwanglim Seo ◽  
Jungtae Soh ◽  
Amit Sharma
Keyword(s):  
Cash Flow ◽  
Specific Effect ◽  
Resource Scarcity ◽  
Restaurant Industry ◽  
Financing Decisions ◽  
The Us ◽  
Cash Flow Sensitivity ◽  
Investment And Financing ◽  
Restaurant Firms ◽  
New Evidence

This study investigates whether industry-specific characteristics such as franchising can affect investment and financing decisions when restaurant firms have limited access to capital. Building on the resource scarcity theory and investment-cash flow sensitivity (ICFS) model, this study developed an industry-specific ICFS model that analyzes corporate demand for franchising as a means of complementing the firms’ ability to invest in imperfect markets. Using a sample of US restaurant firms, we empirically evaluated the extent to which franchising provides greater insights into ICFS. By investigating the industry-specific effect of franchising on ICFS, the current study provides a more comprehensive understanding and explanation for the interaction between investment and financing decisions in the US restaurant industry. The findings of this study will provide restaurant investors and shareholders with valuable insights into how to monitor the investment behavior of management.

Quick NAFTA deal is unlikely

2018 ◽  
Keyword(s):  
United States ◽  
North America ◽  
Cash Flow ◽  
The United States ◽  
Canadian Dollar ◽  
Industrial Growth ◽  
Content Type ◽  
The Us ◽  
Trading Partners ◽  
Us Dollar

Subject NAFTA update. Significance Negotiators from Canada, Mexico and the United States will reconvene this month to address major disagreements on critical NAFTA provisions. The meeting will give negotiators their first opportunity to take stock of their governments' respective positions in the aftermath of Mexico's elections, the recent imposition of key US import tariffs and the retaliatory measures taken by US trading partners. While the grounds for agreement exist, the chances of a rapid conclusion are remote. Impacts Trade uncertainty will hit prospects for industrial growth, earnings, cash flow and investment across North America. The Canadian dollar and the peso are likely to remain weak against the US dollar throughout 2018. The threat of new US auto tariffs may hasten agreement on NAFTA auto provisions, giving Trump an early negotiating victory.

Location Specific Styles and US Venture Capital Contracting

2015 ◽  
Vol 05 (03) ◽  
pp. 1550012 ◽  
Author(s):  
Ola Bengtsson ◽  
S. Abraham Ravid
Keyword(s):  
Venture Capital ◽  
Cash Flow ◽  
Ceo Compensation ◽  
Contract Design ◽  
Control Rights ◽  
Financial Contracts ◽  
Compensation Contracts ◽  
The Us

This paper shows that several contractual equilibria coexist in the US venture capital (VC) contracts. Our database is larger than that of previous studies and includes 1,804 contracts. Our main finding is that California-based entrepreneurs receive less harsh contract terms. In particular, investors subject to California-based or California style contracts have less downside protection. This “California effect” remains large and significant even after we include all the previously discovered controls which determine contract design. We find a similar effect if the VC is located in California, or if a non-California VC had a large exposure to the California market. We do not find evidence that VCs are substituting cash flow contingencies for control rights or for performance-based CEO compensation contracts. We also document several other new contractual features of VC contracts. In particular, we find that better companies and more experienced VCs receive better contract terms, whereas older companies receive harsher contracts. We also confirm the role of concentration and proximity in financial contracts.

Quantifying residential PV economics in the US––payback vs cash flow determination of fair energy value

Solar Energy ◽  
2004 ◽  
Vol 77 (4) ◽  
pp. 363-366 ◽  
Author(s):  
Richard Perez ◽  
Linda Burtis ◽  
Tom Hoff ◽  
Sam Swanson ◽  
Christy Herig
Keyword(s):  
Cash Flow ◽  
Energy Value ◽  
The Us

Bombardier's Delta CSeries deal may trigger a WTO case

2016 ◽  
Keyword(s):  
Cash Flow ◽  
Flow Problem ◽  
Significant Source ◽  
Lost Sales ◽  
Content Type ◽  
Aerospace Sector ◽  
The Us

Significance Bombardier -- one of the top four global aircraft manufacturers and a significant source of employment in Canada and abroad -- is currently seeking a federal bailout to alleviate a significant negative cash flow problem posed in no small part by its CSeries narrow-body airliner. Impacts Airbus and Boeing could face competition in narrow-body airliners should the CSeries establish itself on the market. However, there are few threats to Airbus and Boeing's overall positions at the top of the global aerospace sector. Politically motivated constraints on the US Export-Import Bank may benefit Bombardier via lost sales for Boeing abroad.

Information asymmetry and REITs’ excess dividends: US and European market comparison

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Giacomo Morri ◽  
Federico Palmieri ◽  
Emiliano Sironi
Keyword(s):  
Information Asymmetry ◽  
Cash Flow ◽  
European Market ◽  
Joint Analysis ◽  
Linear Regression Models ◽  
Content Type ◽  
Asymmetry Information ◽  
The Us ◽  
The Usa ◽  
The Uk

PurposeThe purpose of this study is to analyze the determinants that lead REITs to pay out more dividends than the required level to retain their tax-favored status. In particular, the focus is on the effect that information asymmetry has on REITs’ excess dividends distribution.Design/methodology/approachA sample of 341 REITs from the USA, France, the UK, Spain, Belgium, Germany, the Netherlands and Italy has been analyzed for the period 2000–2016. Employing multiple linear regression models, the effects of information asymmetry, cash flow, size, ROA, leverage and treasury shares on excess dividends have been explored.FindingsResults indicate that REITs with greater information asymmetry distribute significantly more excess dividends, with superior evidence in Europe than in the USA. Regarding other determinants, cash flow influences excess dividends the most, whereas ROA and common shares repurchase have an inverse relationship with excess dividends.Practical implicationsThe paper explores the effects of excess dividends distribution on the most relevant REITs features. The joint analysis of the European and the US samples allows this study to make a comparison between the two markets and to identify affinities and differences.Originality/valueThe paper tests whether a proxy of asymmetry information plays a role in affecting the excess dividends distribution. In contrast to previous researches, it expands the analysis by comparing the US and European markets to underline any difference in the effect of asymmetry information on excess dividends. The topic has never been investigated before in relation to the European market.

Examining the determinants of long-term debt in the US restaurant industry

2017 ◽  
Vol 29 (5) ◽  
pp. 1501-1520 ◽  
Author(s):  
Kwanglim Seo ◽  
Ellen Eun Kyoo Kim ◽  
Amit Sharma
Keyword(s):  
Cash Flow ◽  
Boards Of Directors ◽  
Restaurant Industry ◽  
Growth Opportunities ◽  
Content Type ◽  
Financing Decisions ◽  
The Us ◽  
Restaurant Firms ◽  
The Impact

Purpose This paper aims to find alternative explanations for the use of long-term debt in the US restaurant industry from a behavioral perspective. The three-fold purpose of the present study is to examine the impact of CEO overconfidence on the use of long-term debt; explore how CEO overconfidence moderates the relationship between growth opportunities and long-term debt; and analyze the moderating role of CEO overconfidence based on cash flow levels in the context of the restaurant industry. Design/methodology/approach Using a sample of publicly traded US restaurant firms between 1992 and 2015, this study used generalized methods of moments with instrumental variable technique to analyze the panel data. Findings The findings of this study highlight the importance of considering behavioral traits of CEOs, such as overconfidence to better understand the US restaurant firms’ financing behaviors. This study found that overconfident CEOs tend to use more long-term debt when firms have greater growth opportunities and low cash flow. Practical implications Given that psychological and behavioral features of CEOs are critical in understanding the variations in corporate financing decisions and capital structure, shareholders and boards of directors of growth-seeking restaurant firms should incorporate the behavioral aspects of overconfident CEOs in the design of long-term debt contracts to mitigate liquidation risk while developing compensation practices that encourage overconfident CEOs to finance growth. Originality/value Despite its heavy reliance on long-term debt in the US hospitality industry, prior studies provided mixed findings for the determinants of long-term debt. This study makes a contribution to the literature by offering alternative approaches to examining long-term debt decisions among US restaurant firms.

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