External financial dependence and firms’ crisis performance across Europe
Bibliographic Data
| ID | 21542274 |
|---|---|
| Authors | Peter Eppinger (0000-0002-8460-544X, Bernstein Center for Computational Neuroscience Tübingen), Katja Neugebauer (Systemic Risk Centre) |
| Year | 2022 |
| Volume | 62 |
| Issue | 2 |
| Pages | 887-904 |
| Publication date | 2022-02-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Empirical Economics (JOURNAL) |
| Journal identifiers | ISSN: 0377-7332 • E-ISSN: 1435-8921 |
| Publisher | Springer Science and Business Media LLC (PUBLISHER) |
| DOI | 10.1007/s00181-021-02025-3 |
| PMID | 35221457 |
| OpenAlex | W2606183418 |
| Language | EN |
| References cited | 15 |
How do financial market conditions affect real economic performance? Empirical investigations of this question have often relied on measures of external financial dependence (EFD) that are constructed using US data and applied to other countries under the assumption of a stable industry ranking across countries. This paper exploits unique, comparable survey data from seven European countries to show that correlations of EFD across countries are weak, casting some doubt on this assumption. We then use the novel survey-based EFD index to show that the global financial crisis had a disproportionately negative impact on the real performance of financially dependent firms. Further investigations highlight the importance of supply chains in propagating the credit shock
Business · Econometrics · Economics · Exploit · Financial crisis · Macroeconomics · Monetary economics · Survey data collection · Banking stability, regulation, efficiency · Global Financial Crisis and Policies
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An Illustrated User Guide to the World Input–Output Database
Off the cliff and back? Credit conditions and international trade during the global financial crisis
| Citation velocity | historical |
|---|---|
| Highly cited | No |