... an important role in mitigating the impact of EPU on CRT behavior. Originality/value Extant literature uses firm-specific variables to define financial constraints. In contrast, this study builds on the context of Indian firms representing a unique opportunity to exploit a natural experiment...

..., estimation methods, sampling procedures, and annual financial constraint status. Moreover, we show that the effect is noticed both in the long-term debt and the short-term debt with a lower economic impact in the latter situation and that increased societal trust attenuates (reinforces) the effect of being...

...Muhammad Farooq; Muhammad Imran Khan; Amna Noor Purpose The current study aims to investigate the impact of firm performance on chief executive officer (CEO) remuneration in the context of an emerging market, i.e. Pakistan. Further, the interactive effect of financial constraints is investigated...

...Muhammad Farooq; Asad Afzal Humayon; Muhammad Imran Khan; Sarmad Ali Purpose The purpose of this research is to examine the impact of corporate governance proxies by ownership structure on financial constraints for a sample of 215 non-financial Pakistan Stock Exchange (PSX) listed firms between...

...) to cash flow sensitivity to understand the nature of financial constraints. Second, the authors further investigate the impact of working capital level on firm values and risks between group-affiliated and standalone firms. Design/methodology/approach This paper uses balanced panel data set from...

...Hatem Mansali; Imen Derouiche; Karima Jemai Purpose The purpose of this paper is to examine how information asymmetry driven by earnings quality affects corporate cash holdings. It also investigates the role that financial constraints play in this effect. Design/methodology/approach The paper...

...Hussein Ali Ahmad Abdoh; Oscar Varela Purpose The purpose of this paper is to examine the effects of product market competition on capital spending (investments) financed by cash flow (CF), and the role of financial constraints (FC) on these effects. Design/methodology/approach The Herfindahl...

...Jin Ho Park; Kwangwoo Park; Ronald Andrew Ratti Purpose The purpose of this paper is to examine the effect of controlling shareholders’ ownership of firms on the firms’ financial constraints in 22 economies for the 1982-2009 period. Design/methodology/approach The authors employ a generalized...

... relation between CFV and stock returns in a majority of global equity markets. The evidence also suggests an important role of financial constraints in explaining this relation. A growing literature has highlighted the existence of a negative cross-section relation between historical information...

... inadequacy. However, financial constraints and the presence of ZL firms come out as important factors to be paid special attention for future empirical works on capital structure. Practical implications The findings can be useful for financial managers in designing capital structure on the basis...

... constraints and the limited access to formal sources of external finance [1] . Corporate governance Capital structure Financial constraints Small-cap firms Small firms are the most dynamic, innovative and risk-taking sector of the economy in most developed countries, so it is of crucial...

...-dependent and bank-independent firms are indistinguishable in their probabilities of appointing unaffiliated bankers as directors. Practical implications – Bank-dependent firms with unexploited growth opportunities appear unable to ameliorate their financial constraints by having banker directors...