A carregar...
Publicação
An extensive approach to unemployment insurance benefits and corporate finance metrics - debt maturity
| Nome: | Descrição: | Tamanho: | Formato: | |
|---|---|---|---|---|
| 1002.53 KB | Adobe PDF |
Autores
Orientador(es)
Resumo(s)
This paper investigates how differences in the unemployment insurance scheme across US
states influence firms’ financial metrics. We find that, over the 1981-2016 period, higher
unemployment insurance benefits are associated with lower financial leverage through a
crowding-out effect. In states with more generous UI benefits, creditors are willing to offer
more favourable loan conditions, which translates into longer debt maturity. Furthermore, no
statistically significant relationship was found between unemployment insurance generosity
and an increase in credit ratings.
Descrição
Palavras-chave
Unemployment risk Unemployment insurance benefits Stakeholders Compensating wage differentials Capital structure Bank loans Debt maturity Interest coverage ratio Productivity Credit rating Employee welfare