A Panel Study of eZombief SMEs in Japan: Identification, Borrowing and Investment Behavior
AbstractWe estimated the extent to which ezombief SMEs existed in Japan by using panel data set of firms and investigated borrowing and investment functions of ezombief SMEs. We found that 5%`13% of SMEs are ezombief firms. As for borrowing behavior, ezombief firms did not succeed in reducing their loans. A fall in land value of SMEs induced an increase in borrowing of ezombief firms or ever-greening. We also find that the profitability of investment, measured by marginal q and the increment of output, did not increase investment for the ezombief firm, but rather ever-greening of loans increased investment in less productive and profitable projects.
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Bibliographic InfoPaper provided by Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP) in its series Discussion Papers in Economics and Business with number 13-16.
Length: 26 pages
Date of creation: Jul 2013
Date of revision:
ezombief firms; ever-greening; SMEs; borrowing; investment;
Find related papers by JEL classification:
- G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
- E22 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Capital; Investment; Capacity
- E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy
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