Credit ratings and firm life-cycle
نویسندگان
چکیده
Credit ratings display an inverse U-shaped relation over the corporate life-cycle. Firms’ likelihood to obtain a rating initially increases life-cycle as reputation and asymmetric information is reduced. As investment opportunities diminish during shakeout decline phases benefit of having decreases. The economic effect substantial: transitioning from introduction growth phase 6.7% 30%.
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ژورنال
عنوان ژورنال: Finance Research Letters
سال: 2021
ISSN: ['1544-6131', '1544-6123']
DOI: https://doi.org/10.1016/j.frl.2020.101598