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Defence and firm financial structure in France

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  • Belin, Jean
  • Guille, Marianne

Abstract

European defence firms are progressively being privatized and the recourse to private finance in the defence sector is increasing. We use data on French firms to examine at the firm level the impact of defence dependence on firms' financial structure at the end of a period characterised by a decline of defence purchasing. In terms of leverage and financial ratios, we find many significant differences between defence and non‐defence firms but also between different categories of defence firms. The results provide some support for the hypothesis of a relationship between defence dependence and financial structure.
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  • Belin, Jean & Guille, Marianne, 2008. "Defence and firm financial structure in France," Review of Financial Economics, Elsevier, vol. 17(1), pages 46-61.
    • Handle: RePEc:eee:revfin:v:17:y:2008:i:1:p:46-61
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    1. Jean Belin & Marianne Guille & Nathalie Lazaric & Valérie Mérindol, 2019. "Defense Firms Adapting to Major Changes in the French R&D Funding System," Defence and Peace Economics, Taylor & Francis Journals, vol. 30(2), pages 142-158, February.
    2. Jean Belin & Marianne Guille, 2008. "R&D et innovation en France : quel financement pour les entreprises de la Défense ?," Innovations, De Boeck Université, vol. 0(2), pages 33-59.

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