Show simple item record

dc.contributor.author von Furstenberg, George
dc.contributor.author von Kalckreuth, Ulf
dc.date.accessioned 2007-02-07T14:29:34Z
dc.date.available 2007-02-07T14:29:34Z
dc.date.issued 2007-01-08
dc.identifier.uri http://ssrn.com/abstract=955891 en
dc.identifier.uri http://www.iub.edu/~caepr/RePEc/PDF/CAEPR2007-001.pdf en
dc.identifier.uri http://hdl.handle.net/2022/718
dc.description.abstract Rajan & Zingales (1998) use U.S. Compustat firm data for the 1980s to obtain measures of manufacturing sectors’ Dependence on External Finance (DEF). They take any differences in these measures to be structural/technological and thus applicable to other countries. Their joint assumptions about how to obtain representative values of DEF by sector and about why these values differ between sectors have been used widely to show that sectors benefit unequally from a country’s level of financial development. However, the assumptions as such have not been examined. The present study, conducted with cyclically adjusted annual DEF measures, attempts to do so using U.S. industry data for 1977-1997 aggregated by sector. The key findings are that structural/ technological variables have low explanatory power for DEF and that the DEF figures calculated from micro data do not correspond closely to what is obtained from aggregate data. Hence assumptions crucial for RZ's argumentation have not been validated. en
dc.format.extent 447708 bytes
dc.format.mimetype application/pdf
dc.language.iso en_US en
dc.publisher Center for Applied Economics and Policy Research en
dc.relation.ispartofseries CAEPR Working Papers en
dc.relation.ispartofseries 2007-001 en
dc.relation.isversionof This paper is also available on SSRN and RePEc. en
dc.subject CAEPR en
dc.subject Center for Applied Economics and Policy Research en
dc.subject Growth en
dc.subject finance en
dc.subject financial development en
dc.subject industry structure en
dc.subject Growth and finance en
dc.title Dependence on External Finance by Manufacturing Sector: Examining the Measure and its Properties en
dc.type Working Paper en


Files in this item

This item appears in the following Collection(s)

Show simple item record

Search IUScholarWorks


Advanced Search

Browse

My Account

Statistics