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Strategic Actions and Credit Spreads: An Empirical Investigation
16 references·16 citing·30 second hopsampled
Strategic Actions and Credit Spreads: An Empirical Investigation (2007)Strategic Actions and Credit Spreads: An …Do Firms Rebalance Their Capital Structures? (2005)Do Firms Rebalance Their Capi…Default Risk in Equity Returns (2004)Default Risk in Equity ReturnsExplaining the Diversification Discount (2002)Explaining the Diversificatio…The Determinants of Credit Spread Changes (2001)The Determinants of Credit Sp…Modeling Term Structures of Defaultable Bonds (1999)Modeling Term Structures of D…Optimal Debt Structure and the Number of Creditors (1996)Optimal Debt Structure and th…Optimal Capital Structure, Endogenous Bankruptcy, and the Term Structure of Credit Spreads (1996)Optimal Capital Structure, En…A Simple Approach to Valuing Risky Fixed and Floating Rate Debt (1995)A Simple Approach to Valuing …Corporate Debt Value, Bond Covenants, and Optimal Capital Structure (1994)Corporate Debt Value, Bond Co…A Theory of Debt Based on the Inalienability of Human Capital (1994)A Theory of Debt Based on the…Insiders and Outsiders: The Choice between Informed and Arm's-Length Debt (1992)Insiders and Outsiders: The C…Troubled debt restructurings (1990)Troubled debt restructuringsVALUING CORPORATE SECURITIES: SOME EFFECTS OF BOND INDENTURE PROVISIONS (1976)VALUING CORPORATE SECURITIES:…Theory of the firm: Managerial behavior, agency costs and ownership structure (1976)Theory of the firm: Manageria…ON THE PRICING OF CORPORATE DEBT: THE RISK STRUCTURE OF INTEREST RATES* (1974)ON THE PRICING OF CORPORATE D…Risk, Return, and Equilibrium: Empirical Tests (1973)Risk, Return, and Equilibrium…A Macroeconomic Model With Financially Constrained Producers and Intermediaries (2021)A Macroeconomic Model With Fi…Debt Heterogeneity and Covenants (2019)Debt Heterogeneity and Covena…Strategic Default, Debt Structure, and Stock Returns (2016)Strategic Default, Debt Struc…Dynamic Corporate Liquidity (2016)Dynamic Corporate LiquidityDebt enforcement, investment, and risk taking across countries (2016)Debt enforcement, investment,…Financing Investment: The Choice Between Bonds and Bank Loans (2014)Financing Investment: The Cho…SOX, corporate transparency, and the cost of debt (2013)SOX, corporate transparency, …Strategic Default and Equity Risk Across Countries (2012)Strategic Default and Equity …Does shareholder coordination matter? Evidence from private placements (2012)Does shareholder coordination…Investment-Based Corporate Bond Pricing (2011)Investment-Based Corporate Bo…Industry contagion in loan spreads (2011)Industry contagion in loan sp…Cross-country variations in capital structures: The role of bankruptcy codes (2010)Cross-country variations in c…Corporate Bond Default Risk: A 150-Year Perspective (2010)Corporate Bond Default Risk: …When Do Firms Default? A Study of the Default Boundary (2008)When Do Firms Default? A Stud…The Levered Equity Risk Premium and Credit Spreads: A Unified Framework (2007)The Levered Equity Risk Premi…Default Risk, Shareholder Advantage, and Stock Returns* (2006)Default Risk, Shareholder Adv…The Pricing of Options and Corporate Liabilities (1973)Theory of Rational Option Pricing (1973)The stochastic behavior of common stock variances Value, leverage and interest rate effects (1982)A Theory of the Term Structure of Interest Rates (1985)Corporate Yield Spreads: Default Risk or Liquidity? New Evidence from the Credit Default Swap Market (2004)Determinants of corporate borrowing (1977)Two Agency-Cost Explanations of Dividends (1984)What Do We Know about Capital Structure? Some Evidence from International Data (1995)A Survey of Corporate Governance (1997)Do Investment-Cash Flow Sensitivities Provide Useful Measures of Financing Constraints? (1997)CAPITAL ASSET PRICES: A THEORY OF MARKET EQUILIBRIUM UNDER CONDITIONS OF RISK* (1964)The Behavior of Stock-Market Prices (1965)THE VALUATION OF RISK ASSETS AND THE SELECTION OF RISKY INVESTMENTS IN STOCK PORTFOLIOS AND CAPITAL BUDGETS**This paper is another in a series of interrelated theoretical and statistical studies of corporate financial and investment policies being made under grants from the Rockefeller Foundation, and more recently the Ford Foundation, to the Harvard Business School. The generous support for this work is most gratefully acknowledged. The author is also much indebted to his colleagues Professors Bishop, Christenson, Kahr, Raiffa, and (especially) Schlaifer, for extensive discussion and commentary on an earlier draft of this paper; but responsibility for any errors or imperfections remains strictly his own.[Professor Sharpe's paper, “Capital Asset Prices: A Theory of Market Equilibrium Under Conditions of Risk” (Journal of Finance, September 1964) appeared after this paper was in final form and on its way to the printers. My first section, which parallels the first half of his paper (with corresponding conclusions), sets the algebraic framework for sections II, III and VI, (which have no counterpart in his paper) and for section IV on the equilibrium prices of risk assets, concerning which our results differ significantly for reasons which will be explored elsewhere. Sharpe does not take up the capital budgeting problem developed in section V below.] (1975)On Persistence in Mutual Fund Performance (1997)The Cost of Capital, Corporation Finance and the Theory of Investment (1958)EFFICIENT CAPITAL MARKETS: A REVIEW OF THEORY AND EMPIRICAL WORK* (1970)Option pricing when underlying stock returns are discontinuous (1976)The valuation of options for alternative stochastic processes (1976)An equilibrium characterization of the term structure (1977)Corporate financing and investment decisions when firms have information that investors do not have (1984)The theory and practice of corporate finance: evidence from the field (2001)The Nature of the Firm (1937)Separation of Ownership and Control (1983)Law and Finance (1998)Common risk factors in the returns on stocks and bonds (1993)Prospect Theory and Asset Prices (2001)Credit Spreads and Business Cycle Fluctuations (2012)The Cross-Section of Expected Stock Returns (1992)Forecasting Default with the Merton Distance to Default Model (2008)… and the Cross-Section of Expected Returns (2015)
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References

  • 1976Theory of the firm: Managerial behavior, agency costs and ownership structure71,441 cited
  • 1973Risk, Return, and Equilibrium: Empirical Tests14,248 cited
  • 1974ON THE PRICING OF CORPORATE DEBT: THE RISK STRUCTURE OF INTEREST RATES*10,779 cited
  • 1992Insiders and Outsiders: The Choice between Informed and Arm's-Length Debt3,902 cited
  • 1994Corporate Debt Value, Bond Covenants, and Optimal Capital Structure2,732 cited
  • 1999Modeling Term Structures of Defaultable Bonds2,547 cited
  • 1976VALUING CORPORATE SECURITIES: SOME EFFECTS OF BOND INDENTURE PROVISIONS2,383 cited
  • 2001The Determinants of Credit Spread Changes2,253 cited
  • 1995A Simple Approach to Valuing Risky Fixed and Floating Rate Debt2,090 cited
  • 2004Default Risk in Equity Returns1,997 cited
  • 1996Optimal Capital Structure, Endogenous Bankruptcy, and the Term Structure of Credit Spreads1,962 cited
  • 2005Do Firms Rebalance Their Capital Structures?1,495 cited
  • 1994A Theory of Debt Based on the Inalienability of Human Capital1,441 cited
  • 1996Optimal Debt Structure and the Number of Creditors1,440 cited
  • 2002Explaining the Diversification Discount1,372 cited

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  • 1990Troubled debt restructurings1,096 cited
  • Cited by

    • 2011Industry contagion in loan spreads190 cited
    • 2010Corporate Bond Default Risk: A 150-Year Perspective175 cited
    • 2016Debt enforcement, investment, and risk taking across countries161 cited
    • 2010Cross-country variations in capital structures: The role of bankruptcy codes161 cited
    • 2011Investment-Based Corporate Bond Pricing133 cited
    • 2021A Macroeconomic Model With Financially Constrained Producers and Intermediaries133 cited
    • 2012Strategic Default and Equity Risk Across Countries124 cited
    • 2007The Levered Equity Risk Premium and Credit Spreads: A Unified Framework123 cited
    • 2014Financing Investment: The Choice Between Bonds and Bank Loans105 cited
    • 2016Dynamic Corporate Liquidity101 cited
    • 2019Debt Heterogeneity and Covenants98 cited
    • 2008When Do Firms Default? A Study of the Default Boundary94 cited
    • 2006Default Risk, Shareholder Advantage, and Stock Returns*91 cited
    • 2012Does shareholder coordination matter? Evidence from private placements90 cited
    • 2016Strategic Default, Debt Structure, and Stock Returns89 cited
    • 2013SOX, corporate transparency, and the cost of debt79 cited