Early-Stage Globalization and Corporate Debt Maturity: The Case of South Korea, 1980-94
Using data from publicly traded South Korean corporations for the period 1980-94, this paper finds evidence that increases in financial liberalization that accompanied the more general process of financial globalization have significantly reduced the maturity structure of corporate debt contracts, thus lending partial empirical support to the idea that financial liberalization can be well described as “short-term pain, long-term gain”. This effect of financial liberalization on corporate debt maturity is robust to changes in econometric specification, and does not seem to be counteracted by opposing forces that tended to lengthen the maturity of corporate debt during the same period.
|Date of creation:||Dec 2006|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (775) 784-6450
Fax: (775) 784-4728
Web page: http://www.business.unr.edu/econ/
More information through EDIRC
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.:
- D. Heyman & M. Deloof & H. Ooghe, 2003.
"The Debt-Maturity Structure of Small Firms in a Creditor-Oriented Environment,"
Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium
03/197, Ghent University, Faculty of Economics and Business Administration.
- Dries Heyman & Marc Deloof & Hubert Ooghe, 2003. "The debt-maturity structure of small firms in a creditor-oriented environment," Vlerick Leuven Gent Management School Working Paper Series 2003-24, Vlerick Leuven Gent Management School.
- Barclay, Michael J & Smith, Clifford W, Jr, 1995. " The Maturity Structure of Corporate Debt," Journal of Finance, American Finance Association, vol. 50(2), pages 609-31, June.
- Sergio Schmukler & Esteban Vesperoni, 2001.
"Globalization and Firms' Financing Choices: Evidence from Emerging Economies,"
William Davidson Institute Working Papers Series
388, William Davidson Institute at the University of Michigan.
- Sergio L. Schmukler & Esteban Vesperoni, 2001. "Globalization and Firms' Financing Choices: Evidence From Emerging Economies," IMF Working Papers 01/95, International Monetary Fund.
- Schmukler, Sergio & Versperoni, Esteban, 2000. "Globalization and firms'financing choices - evidence from emerging economies," Policy Research Working Paper Series 2323, The World Bank.
- Geert Bekaert & Campbell R. Harvey, 1997.
"Foreign Speculators and Emerging Equity Markets,"
NBER Working Papers
6312, National Bureau of Economic Research, Inc.
- Booth, L. & Asli Demirgu-Kunt, V.A. & Maksimovic, V., 1999.
"Capital Structure in Developing Countries,"
Rotman School of Management - Finance
00-001, Rotman School of Management, University of Toronto.
- Aydin Ozkan, 2000. "An empirical analysis of corporate debt maturity structure," European Financial Management, European Financial Management Association, vol. 6(2), pages 197-212.
- Aarstol, Michael P., 2000. "Inflation and debt maturity," The Quarterly Review of Economics and Finance, Elsevier, vol. 40(1), pages 139-153.
- repec:cup:cbooks:9780521843898 is not listed on IDEAS
- Beck, Thorsten & Demirguc-Kunt, Asli & Levine, Ross, 1999. "A new database on financial development and structure," Policy Research Working Paper Series 2146, The World Bank.
- Schmukler, Sergio L. & Vesperoni, Esteban, 2006. "Financial globalization and debt maturity in emerging economies," Journal of Development Economics, Elsevier, vol. 79(1), pages 183-207, February.
- Aydin Ozkan, 2002. "The determinants of corporate debt maturity: evidence from UK firms," Applied Financial Economics, Taylor & Francis Journals, vol. 12(1), pages 19-24.
- repec:cup:cbooks:9780521605076 is not listed on IDEAS
When requesting a correction, please mention this item's handle: RePEc:unr:wpaper:06-016. 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: (Mehmet Tosun)
If references are entirely missing, you can add them using this form.