Emilia Garcia-Appendini

TL;DR: In this paper, the effect of the 2007-2008 financial crisis on between-firm liquidity provision was studied. But the authors focused on the effect on the trade credit taken by constrained firms.

TL;DR: In this article, the effect of the 2007-2008 financial crisis on between-firm liquidity provision was studied using a supplier-client matched sample, and the authors found that firms with high pre-crisis liquidity levels increased the trade credit extended to other corporations and subsequently experienced better performance as compared to ex-ante cash-poor firms.

TL;DR: In this article, the authors analyze several aspects of the trade credit agreement and discuss several aspects that make trade credit a unique and not fully contractual arrangement, whose value depends to a great extent on the value of the commercial relationship between the supplier and the buyer.

TL;DR: In this article, cultural differences in the preference toward debt funding and use of formal and informal sources of financing (bank loans and trade credit) were found in small firms with managers of diverse cultural backgrounds.

TL;DR: In this paper, the authors analyzed whether the financial distress of a firm affects the investment decisions of non-distressed competitors and found that firms in distress impose indirect costs to non-disciplined competitors by increasing costs of credit in the industry and hence restricting credit access and investment.