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Spatial variations in financial constraints of SMEs—evidence from firm-level estimates of investment-cash flow sensitivities in Sweden

Datos Bibliográficos

ID14869415
AutoresMartin Andersson (0000-0002-0302-6244, Blekinge Institute of Technology, autor de correspondencia), Johan Eklund (0000-0001-7233-3136, Blekinge Institute of Technology), Johan E Eklund, Alexandra Tsvetkova (0000-0002-3363-7564, University of Trento)
Año2023
Volumen60
Número4
Páginas1683-1698
Fecha de publicación2023-04-01
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaSmall Business Economics (JOURNAL)
Identificadores de la revistaISSN: 0921-898X • E-ISSN: 1573-0913
EditorialSpringer Science and Business Media LLC (PUBLISHER)
DOI10.1007/s11187-022-00673-y
OpenAlexW4294397888
IdiomaEN
Citas recibidas4
Referencias citadas40

It is well established that there is uneven availability of credit across space, in particular for SMEs. The evidence on whether this translates into differences in actual business investments remains scarce. We assess this question by using firm-level data for Swedish firms and estimate the extent to which the average investment-cash flow sensitivities of firms vary across the urban–rural hierarchy. We find that the world of financing is not yet flat for the majority of Swedish SMEs. Companies located in non-metro regions are most dependent on own cash flow in their investments. The results hold for all firms, firms of different sizes, firms operating in low-end services, unaffiliated firms and those belonging to domestic corporations. In contrast, investment-cash flow sensitivity of firms operating in high-tech services and those belonging to a multinational enterprise does not differ geographically. On average, regional investment-cash flow sensitivity is lower in bigger, denser and more educated local labour market regions; it is higher in regions with greater concentration of SMEs

Business · Cash flow · Economics · Entrepreneurship · Investment (military · Multinational corporation · Banking stability, regulation, efficiency · Corporate Finance and Governance · Firm Innovation and Growth · Finance

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Obras citantes distintas4
Citas por año4
Intervalo de citas2025 - 2026 (2)
Velocidad de citacióncurrent
Altamente citadoNo
Tipos de citaNeutras: 4
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