Funding Liquidity without Banks: Evidence from a Shock to the Cost of Very Short-Term Debt

• 成果类型: Article
• 署名作者: Restrepo, Felipe; Cardona-Sosa, Lina; Strahan, Philip E.
• 署名单位: Western University (University of Western Ontario); Banco de la Republica Colombia; Boston College; National Bureau of Economic Research
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/jofi.12832
• 发表日期: 2019
• 页码: 2875-2914
• 关键词: trade credit; RISK; determinants; providers; finance

摘要

In 2011, Colombia instituted a tax on repayment of bank loans, which increased the cost of short-term bank credit more than long-term credit. Firms responded by cutting short-term loans for liquidity management purposes and increasing the use of cash and trade credit. In industries in which trade credit is more accessible (based on U.S. Compustat firms), we find substitution into accounts payable and little effect on cash and investment. Where trade credit is less available, firms increase cash and cut investment. Thus, trade credit provides an alternative source of liquidity that can insulate some firms from bank liquidity shocks.