Corporate Governance, Law and Finance di Philipp Kuhn-Régnier edito da VDM Verlag
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Corporate Governance, Law and Finance

An analytical model of corporate finance

Editore:

VDM Verlag

EAN:

9783639312041

ISBN:

363931204X

Pagine:
64
Formato:
Paperback
Lingua:
Tedesco
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Descrizione Corporate Governance, Law and Finance

Following the initial publication of La Porta et al. (1997) an ever growing number of researchers published empirical evidence on the influence of corporate governance rules on external financing. Whereas the empirical links have been researched extensively, suitable analytical models are still rare. This book extends Holmström and Tirole (1997)'s model of corporate finance to predict the influence of legal changes on outside funding. Finally, the book summarizes the empirical law and finance literature. I find that better corporate governance rules raise the number of firms that receive external financing as well as the amount of investment per firm. At last it is found that the aggregate investment shifts upwards once better corporate governance rules are introduced.

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