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In-Kind Finance

A Theory of Trade Credit

Datos Bibliográficos

ID5784635
AutoresMike Burkart (0000-0002-0954-4499, Stockholm School of Economics), Tore Ellingsen (0000-0001-9501-0137, Stockholm School of Economics)
Año2004
Volumen94
Número3
Páginas569-590
Fecha de publicación2004-05-01
Peer ReviewedSí
Open AccessNo
TipoARTICLE
RevistaAmerican Economic Review (JOURNAL)
Identificadores de la revistaISSN: 0002-8282 • E-ISSN: 1944-7981
EditorialAmerican Economic Association (PUBLISHER • US)
DOI10.1257/0002828041464579
OpenAlexW2605496294
IdiomaEN
Citas recibidas38
Referencias citadas26

It is typically less profitable for an opportunistic borrower to divert inputs than to divert cash. Therefore, suppliers may lend more liberally than banks. This simple argument is at the core of our contract theoretic model of trade credit in competitive markets. The model implies that trade credit and bank credit can be either complements or substitutes. Among other things, the model explains why trade credit has short maturity, why trade credit is more prevalent in less developed credit markets, and why accounts payable of large unrated firms are more countercyclical than those of small firms

Accounts payable · Argument (complex analysis · Credit crunch · Credit rationing · Trade Credit · Corporate Finance and Governance · Firm Innovation and Growth · Working Capital and Financial Performance

  • A more complete conceptual framework for SME finance

    Open Access•Allen N Berger, Gregory F Udell•Journal of Banking & Finance•2006

  • Unveiling the connection among customer concentration, trade credit financing, and firm performance

    Open Access•Qiang Meng, Meng Qiang et al.•Journal of Infrastructure Policy…•2023

  • The role of the relationship between planning systems and open accounting records in the hotel systems in terms of the quality of accounting information

    Open Access•Hayder Basim Kareem, Mohammed Hussein Ali et al.•Economic Annals-ХХI•2021

  • Impact of Human Perspective of Intellectual Capital on Trade Credit With Moderating Role of Profitability in Pakistan

    Open Access•Asma Masood, Muhammad Ayub Siddiqui•Humanities & Social Sciences…•2021

  • Does SME policy enhance the adjustment of trade credit? Evidence from a revision of the Subcontract Act in Japan

    Open Access•Daisuke Tsuruta•Japan and the World Economy•2025

  • Working capital management, financial constraints and exports

    Open Access•José Manuel Mansilla-Fernández, Juliette Milgram Baleix et al.•Empirical Economics•2023

  • Stochastic frontier modelling of working capital efficiency across Europe

    Open Access•Godfred Adjapong Afrifa, Ishmael Tingbani et al.•Technological Forecasting and…•2022

  • Investigating when religious culture increases trade credit

    Open Access•Yaoqin Li, Danfeng Zhu•Business Ethics, the Environment…•2021

  • Productivity Shocks and Repayment Behavior in Rural Credit Markets

    Guigonan Serge Adjognon, Lenis Saweda Liverpool-Tasie et al.•The Journal of Development Studies•2020

  • Credit Chains and Sectoral Comovement

    Claudio Raddatz•The Review of Economics and…•2010

  • Trade Credit and Taxes

    Mihir A Desai, C Fritz Foley et al.•The Review of Economics and…•2016

  • Monetary Policy Shocks and Trade Credit

    Open Access•Farooq Ahmad, Abdul Rashid et al.•Journal of South Asian Development•2026

  • The choice between bank debt and trade credits in business start-ups

    Open Access•Nancy Huygebaert, Linda Van de Gucht et al.•Small Business Economics•2007

  • Bank debt and trade credit for SMEs in Europe

    Open Access•Guillaume Andrieu, Raffaele Staglianò et al.•Small Business Economics•2018

  • Relationship lending and the use of trade credit

    Open Access•Pierluigi Murro, Valentina Peruzzi•Small Business Economics•2022

  • Does mobile money enable women-owned businesses to invest? Firm-level evidence from Sub-Saharan Africa

    Open Access•Asif Mohammed Islam, Silvia Muzi•Small Business Economics•2022

  • Firm bribery and credit access

    Open Access•Nirosha Hewa Wellalage, Stuart Locke et al.•Small Business Economics•2020

  • Entrepreneurship

    Open Access•Felipe Balmaceda•Small Business Economics•2018

  • The Choice between Bank Debt and Trace Credit in Business Start-ups

    Open Access•Nancy Huyghebaert, Linda Van de Gucht et al.•Small Business Economics•2007

  • Trade credit versus bank credit

    Open Access•María-José Palacín-Sánchez, Francisco-Javier Canto-Cuevas et al.•Small Business Economics•2019

  • Trade Credit in Small and Medium Size Firms

    Open Access•Olga María Rodríguez-Rodríguez, Olga María Rodríguez•Small Business Economics•2006

  • The trade credit channel revisited

    Open Access•Kazuo Ogawa, Elmer Sterken et al.•Small Business Economics•2013

  • Local financial development and the trade credit policy of Italian SMEs

    Open Access•Marc Deloof, Maurizio La Rocca•Small Business Economics•2015

  • Does trade credit play a signalling role? Some evidence from SMEs microdata

    Open Access•Marc Agostino, Mariarosaria Agostino et al.•Small Business Economics•2014

  • Does mobile money use increase firms’ investment? Evidence from Enterprise Surveys in Kenya, Uganda, and Tanzania

    Open Access•Asif Mohammed Islam, Asif Islam et al.•Small Business Economics•2018

  • The social benefit of being destructive

    Open Access•Rosaria Distefano•Small Business Economics•2026

  • Remedying the defects in India's credit and insolvency frameworks with adapted solutions from the Anglo-American legal scholarships

    Open Access•Williams Iheme•Pravni zapisi•2020

  • An empirical analysis of the impact of trade credit on bank debt restructuring

    Open Access•Antonio Fabio Forgione, Carlo Migliardo•Economia Politica•2018

  • Impact of the 2008 financial crisis on corporate trade finance

    Open Access•Herbert Broens•Society and Economy•2014

  • Trade credit and corporate investment

    Bahadır Karakoç•Journal of the Asia Pacific Economy•2023

  • Employment and firm heterogeneity, capital allocation, and countercyclical labor market policies

    Open Access•Brendan Epstein, Alan Finkelstein Shapiro•Journal of Development Economics•2017

  • Vertical integration and investor protection in developing countries

    Open Access•Rocco Macchiavello•Journal of Development Economics•2009

  • Informal finance

    Open Access•Andreas Madestam•Journal of Development Economics•2013

  • Competition and inter-firm credit

    Open Access•Kyle Hyndman, Giovanni Serio•Journal of Development Economics•2009

  • Payment instruments, finance and development

    Open Access•Thorsten Beck, Haki Pamuk et al.•Journal of Development Economics•2018

  • Informal borrowing sources and uses

    Nathanael Ojong•Third World Quarterly•2019

  • Dynamics of Trade Credit in China

    Open Access•Wukuang Cun, Vincenzo Quadrini et al.•The Economic Journal•2022

  • Spatial Networks in Trade Credit Between Geographically Close Industrial Small and Medium Enterprises in an Urban Environment

    Open Access•Mariluz Maté-Sánchez-Val•Geographical Review•2020

  • A more complete conceptual framework for SME finance

    Open Access•Allen N Berger, Gregory F Udell•Journal of Banking & Finance•2006

  • Mercantile Credit, Monetary Policy, and Size of Firms

    Allan H Meltzer•The Review of Economics and…•1960

  • Determinants of corporate borrowing

    Open Access•Stewart C Myers•Journal of Financial Economics•1977

  • Informal finance

    Open Access•Andreas Madestam•Journal of Development Economics•2013

Obras citantes distintas38
Citas por año1,9
Intervalo de citas2006 - 2026 (21)
Velocidad de citacióncurrent
Altamente citadoNo
Tipos de citaNeutras: 38
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