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Could Mr. and Mrs. Capital Market Imperfection Please Step Forward? An Empirical Analysis of Adverse Selection and Moral Hazard in Capital Markets

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ARI HYYTINEN
LOTTA VÄÄNÄNEN

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Paper provided by The Research Institute of the Finnish Economy in its series Discussion Papers with number 887.

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Length: 40 pages
Date of creation: 01 Jan 2004
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Handle: RePEc:rif:dpaper:887

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Luís M B Cabral & José Mata, 2003. "On the Evolution of the Firm Size Distribution: Facts and Theory," American Economic Review, American Economic Association, vol. 93(4), pages 1075-1090, September. [Downloadable!]
    Other versions:
  2. Ari Hyytinen & Lotta Väänänen, 2002. "Government Funding of Small and Medium-sized Enterprises in Finland," Discussion Papers 832, The Research Institute of the Finnish Economy. [Downloadable!]
  3. R. Glenn Hubbard, 1998. "Capital-Market Imperfections and Investment," Journal of Economic Literature, American Economic Association, vol. 36(1), pages 193-225, March. [Downloadable!] (restricted)
    Other versions:
  4. Petersen, Mitchell A & Rajan, Raghuram G, 1995. "The Effect of Credit Market Competition on Lending Relationships," The Quarterly Journal of Economics, MIT Press, vol. 110(2), pages 407-43, May. [Downloadable!] (restricted)
    Other versions:
  5. Allen N. Berger & Gregory F. Udell, 1998. "The economics of small business finance: the roles of private equity and debt markets in the financial growth cycle," Finance and Economics Discussion Series 1998-15, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
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  6. Aydogan Alti, 2003. "How Sensitive Is Investment to Cash Flow When Financing Is Frictionless?," Journal of Finance, American Finance Association, vol. 58(2), pages 707-722, 04. [Downloadable!] (restricted)
  7. Diamond, Douglas W, 1989. "Reputation Acquisition in Debt Markets," Journal of Political Economy, University of Chicago Press, vol. 97(4), pages 828-62, August. [Downloadable!] (restricted)
  8. Samuel Kortum & Josh Lerner, 2000. "Assessing the Contribution of Venture Capital to Innovation," RAND Journal of Economics, The RAND Corporation, vol. 31(4), pages 674-692, Winter.
  9. Georges Dionne & Christian Gourieroux & Charles Vanasse, 2001. "Testing for Evidence of Adverse Selection in the Automobile Insurance Market: A Comment," Journal of Political Economy, University of Chicago Press, vol. 109(2), pages 444-473, April. [Downloadable!] (restricted)
  10. Evans, David S & Jovanovic, Boyan, 1989. "An Estimated Model of Entrepreneurial Choice under Liquidity Constraints," Journal of Political Economy, University of Chicago Press, vol. 97(4), pages 808-27, August. [Downloadable!] (restricted)
  11. Imbens, Guido W. & Lancaster, Tony, 1996. "Efficient estimation and stratified sampling," Journal of Econometrics, Elsevier, vol. 74(2), pages 289-318, October. [Downloadable!] (restricted)
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  12. Pierre-Andre Chiappori & Bernard Salanie, 2001. "Testing for Asymmetric Information in Insurance Markets," Journal of Political Economy, University of Chicago Press, vol. 108(1), pages 56-78, February. [Downloadable!] (restricted)
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  13. Bronwyn Hall, 2002. "The Financing of Research and Development," Department of Economics, Working Paper Series 1004, Department of Economics, Institute for Business and Economic Research, UC Berkeley. [Downloadable!]
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  14. Wooldridge, Jeffrey M., 2001. "Asymptotic Properties Of Weighted M-Estimators For Standard Stratified Samples," Econometric Theory, Cambridge University Press, vol. 17(02), pages 451-470, April. [Downloadable!]
  15. Malcolm Baker & Jeremy C. Stein & Jeffrey Wurgler, 2002. "When Does the Market Matter? Stock Prices and the Investment of Equity-Dependent Firms," NBER Working Papers 8750, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  16. Vincenzo Denicolo' & Paolo Garella, 1999. "Rationing in a Durable Goods Monopoly," RAND Journal of Economics, The RAND Corporation, vol. 30(1), pages 44-55, Spring. [Downloadable!] (restricted)
  17. Petersen, Mitchell A & Rajan, Raghuram G, 1994. " The Benefits of Lending Relationships: Evidence from Small Business Data," Journal of Finance, American Finance Association, vol. 49(1), pages 3-37, March. [Downloadable!] (restricted)
  18. Stiglitz, Joseph E & Weiss, Andrew, 1981. "Credit Rationing in Markets with Imperfect Information," American Economic Review, American Economic Association, vol. 71(3), pages 393-410, June. [Downloadable!] (restricted)
  19. Jeffrey M. Wooldridge, 1999. "Asymptotic Properties of Weighted M-Estimators for Variable Probability Samples," Econometrica, Econometric Society, vol. 67(6), pages 1385-1406, November.
  20. Bester,Helmut Hellwig,Martin, 1987. "Moral hazard and equilibrium credit rationing: An overview of the issues," Discussion Paper Serie A 125, University of Bonn, Germany.
  21. Boyer, Marcel & Moreaux, Michel, 1988. "Rational Rationing in Stackelberg Equilibria," The Quarterly Journal of Economics, MIT Press, vol. 103(2), pages 409-14, May. [Downloadable!] (restricted)
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  22. Guiso, Luigi & Sapienza, Paola & Zingales, Luigi, 2002. "Does Local Financial Development Matter?," CEPR Discussion Papers 3307, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  23. Heitor Almeida & Murillo Campello & Michael S. Weisbach, 2004. "The Cash Flow Sensitivity of Cash," Journal of Finance, American Finance Association, vol. 59(4), pages 1777-1804, 08. [Downloadable!] (restricted)
  24. Charles J. Hadlock & Christopher M. James, 2002. "Do Banks Provide Financial Slack?," Journal of Finance, American Finance Association, vol. 57(3), pages 1383-1419, 06. [Downloadable!] (restricted)
  25. Donald P. Morgan, 2002. "Rating Banks: Risk and Uncertainty in an Opaque Industry," American Economic Review, American Economic Association, vol. 92(4), pages 874-888, September. [Downloadable!]
  26. Richard J. Gilbert & Paul Klemperer, 2000. "An Equilibrium Theory of Rationing," RAND Journal of Economics, The RAND Corporation, vol. 31(1), pages 1-21, Spring.
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Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Petri Rouvinen & Pekka Tsupari, 2004. "Inter-firm Collaboration and Electronic Business: Effects on Profitability in Finalnd," Discussion Papers 895, The Research Institute of the Finnish Economy. [Downloadable!]
  2. Tomi Hussi, 2004. "A Managerial Relevance of Maintenance of Work Abilility. A Finnish Perspective," Discussion Papers 897, The Research Institute of the Finnish Economy. [Downloadable!]
  3. Petri Rouvinen, 2004. "Diffusion of Digital Mobile Telephony - Are Devoloping Countries Different?," Discussion Papers 901, The Research Institute of the Finnish Economy. [Downloadable!]
    Other versions:
  4. Antti-Jussi Tahvanainen, 2004. "Academic Spin-offs in Finnish Biotechnology," Discussion Papers 900, The Research Institute of the Finnish Economy. [Downloadable!]
  5. Hannu Piekkola, 2004. "Active Ageing Policies in Finland," Discussion Papers 898, The Research Institute of the Finnish Economy. [Downloadable!]
  6. Markku Stenborg, 2004. "Are There Biases in the Market Definition Procedure?," Discussion Papers 903, The Research Institute of the Finnish Economy. [Downloadable!]
  7. Ari Hyytinen & Mika Pajarinen, 2004. "Is the Cost of Debt Capital Higher for Younger Firms?," Discussion Papers 946, The Research Institute of the Finnish Economy. [Downloadable!]
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  8. Kari Alho, 2004. "The Finnish EMU Buffers and the Labour Market under Asymmetric Shocks," Discussion Papers 914, The Research Institute of the Finnish Economy. [Downloadable!]
  9. Liisa Leijola, 2004. "The Education System in Finland - Development and Equality," Discussion Papers 909, The Research Institute of the Finnish Economy. [Downloadable!]
  10. Pekka Ylä-Anttila & Jyrki Ali-Yrkkö & Martti Nyberg, 2004. "Foreign Ownership in Finland - Boosting Firm Performance and Changing Corporate Governance," Discussion Papers 904, The Research Institute of the Finnish Economy. [Downloadable!]
  11. Jyrki Ali-Yrkkö & Ari Hyytinen & Mika Pajarinen, 2004. "Does Patenting Increase the Probability of Being Acquired? Evidence from Cross-border and Domestic Acquisitions," Discussion Papers 891, The Research Institute of the Finnish Economy. [Downloadable!]
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