The effect of capital inflows on the imports of capital goods in developing countries

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F25840886%3A_____%2F24%3AN0000007" target="_blank" >RIV/25840886:_____/24:N0000007 - isvavai.cz</a>

Výsledek na webu

<a href="https://www.sciencedirect.com/science/article/pii/S0929119923001803?via%3Dihub" target="_blank" >https://www.sciencedirect.com/science/article/pii/S0929119923001803?via%3Dihub</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1016/j.jcorpfin.2023.102531" target="_blank" >10.1016/j.jcorpfin.2023.102531</a>

Jazyk výsledku

angličtina

Název v původním jazyce

The effect of capital inflows on the imports of capital goods in developing countries

Popis výsledku v původním jazyce

This paper examines the relationship between capital inflows and import of capital goods to credit-constrained industries in developing countries. Using data of 11 industrial sectors in 57 countries for 2000–2020, we find that financially dependent industries import disproportionately more capital goods if they operate in countries that receive more foreign funds. A host of robustness tests, including instrumental variables estimation, confirm our main finding. We also document that: (i) the established nexus breaks down during the global financial crisis, (ii) the observed relationship is mainly due to the direct investment via equity, and (iii) host countries tend to import relatively more capital goods from G7 economies. Overall, our results suggest that one channel through which capital inflows affect economic growth is by alleviating firms' financial constraints, thereby enabling firms to acquire more advanced capital goods.

Název v anglickém jazyce

The effect of capital inflows on the imports of capital goods in developing countries

Popis výsledku anglicky

This paper examines the relationship between capital inflows and import of capital goods to credit-constrained industries in developing countries. Using data of 11 industrial sectors in 57 countries for 2000–2020, we find that financially dependent industries import disproportionately more capital goods if they operate in countries that receive more foreign funds. A host of robustness tests, including instrumental variables estimation, confirm our main finding. We also document that: (i) the established nexus breaks down during the global financial crisis, (ii) the observed relationship is mainly due to the direct investment via equity, and (iii) host countries tend to import relatively more capital goods from G7 economies. Overall, our results suggest that one channel through which capital inflows affect economic growth is by alleviating firms' financial constraints, thereby enabling firms to acquire more advanced capital goods.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50204 - Business and management

Projekt

—

Návaznosti

N - Vyzkumna aktivita podporovana z neverejnych zdroju

Rok uplatnění

2024

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Journal of Corporate Finance

ISSN

0929-1199

e-ISSN

1872-6313

Svazek periodika

84

Číslo periodika v rámci svazku

102531

Stát vydavatele periodika

NL - Nizozemsko

Počet stran výsledku

21

Strana od-do

—

Kód UT WoS článku

001152708900001

EID výsledku v databázi Scopus

2-s2.0-85181736528