IDEAS home Printed from https://ideas.repec.org/p/ecm/feam04/699.html
   My bibliography  Save this paper

Sources of Corporate Financing and Economic Crisis in Korea: A Micro-evidence

Author

Listed:
  • Youngjae LIM

Abstract

Using the firm-level data set, this paper attempts to examine the dynamic patterns in the allocation of credit across firms in Korea. Supposedly, in Korea, the economic crisis in 1997 had a significant impact on the pattern in the allocation of credit across firms. In particular, this paper aims to examine these dynamic patterns in the allocation of credit across large and small firms after the crisis. The paper suggests that large firms, to some extent, are leaving banks and going to the capital market for their financing after the crisis. The paper also suggests that profitable small firms are gaining easier access to credit by financial institutions after the crisis. There has been a shift in the allocation of bank credit from large firms to small firms. Is this shift due to lenders’ choice or due to borrowers’ changed incentives? The paper suggests that the improved lending practices of banks, at least partially, contributed to this shift of bank credit from large firms to small firms

Suggested Citation

  • Youngjae LIM, 2004. "Sources of Corporate Financing and Economic Crisis in Korea: A Micro-evidence," Econometric Society 2004 Far Eastern Meetings 699, Econometric Society.
  • Handle: RePEc:ecm:feam04:699
    as

    Download full text from publisher

    File URL: http://repec.org/esFEAM04/up.19628.1080715622.pdf
    Download Restriction: no

    More about this item

    Keywords

    sources of corporate financing; economic crisis; firm size;

    JEL classification:

    • G20 - Financial Economics - - Financial Institutions and Services - - - General
    • G30 - Financial Economics - - Corporate Finance and Governance - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ecm:feam04:699. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum). General contact details of provider: http://edirc.repec.org/data/essssea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.