Tracing the International Transmission of a Crisis through Multinational Firms

• 成果类型: Article
• 署名作者: Biermann, Marcus; Huber, Kilian
• 署名单位: University of Bielefeld; University of Chicago; University of Chicago
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/jofi.13338
• 发表日期: 2024
• 页码: 1789-1829
• 关键词: capital-markets; level evidence; aggregate fluctuations; financial constraints; business cycles; shocks; INVESTMENT; TRADE; banking; origins

摘要

We show that multinational firms transmit shocks across countries through their internal capital markets. We study a credit supply shock to parent firms in Germany. International affiliates outside Germany supported their parents through internal lending, became financially constrained themselves, and experienced lower real growth. We find that managers were Darwinist with respect to international affiliates but Socialist in the home country, that internal capital markets transmitted the credit shock more strongly than a nonfinancial shock, and that access to developed credit markets attenuated the real effects. The total real impact of shock transmission through multinationals on foreign economies was large.