INVESTMENT AND EXPORT-LED INDUSTRIALIZATION: FINANCIAL CONSTRAINTS AND EXPORT PROMOTION OF EAST ASIAN FIRMS

This paper aims to empirically examine the determinants that influence the investment decisions of firms in East Asia, a region that propelled its growth through a predominantly export-led industrialization strategy. Empirical results suggest that a firm¡¯s cash flow, representing internal funding capability, have significantly positive relationship on firm investment decisions in all the sample countries in the region. In addition, the study found that export expansion led to increasing internal funding capability, which had a positive influence on the firm¡¯s investment decision.Corporate Finance, East Asia, Investment

Islamic Finance and the Theory of Capital Structure

This paper empirically investigates firms using Islamic finance in Malaysia and Middle East countries. The comparative analysis of Islamic finance and non-Islamic finance users resulted in three major implications. First, Islamic bond issuers preferentially choose the Islamic bond issuance prior to bank borrowing and other external financing tools. Second, Islamic bond issuance is not related to the issuer’s internal funds, while Islamic bank borrowing is significantly influenced by the magnitude of a firm’s internal funds. These results suggest that Islamic bond issuers do not always choose to issue bonds based on information cost, but Islamic bank borrowers always do. Third, the Islamic bond issuance contributes to an increase in the issuer’s stock returns and total factor productivity. This empirical result suggests that Islamic bond issuance is preferred because of this unique benefit which standard external financing does not have.Capital Structure, Bond Issuance, Islamic Finance

Who issues debt securities in emerging countries?

This paper focuses on the differences of capital market accessibility and investigates the determinants of firm debt securities issuance in emerging countries. The following results are derived from the empirical analysis. First, country panel analyses showed that the debt securities market development and domestic equity market development were positively related. Second, firm panel data analyses of ASEAN countries suggest that debt securities issuers and frequent equity issuers overlap. Third, analyses of daily stock price data of ASEAN firms reveal that debt securities are not issued for infrequent equity issuers, regardless of the stock price, whereas frequent equity issuers choose debt securities issuance as a funding tool when the stock price is low. Fourth, as compared to accessible frequent equity issuers, market-inaccessible firms are less sensitive to the financial cost of debt securities issuance.Debt Securities Issuance, Asian Bond Market, Corporate Finance

On the Rothenberg-Steenrod spectral sequence for the mod 2 cohomology of classifying spaces of spinor groups

We compute the cotorsion product of the mod 2 cohomology of spinor group spin(n), which is the E_2-term of the Rothenberg-Steenrod spectral sequence for the mod 2 cohomology of the classifying space of the spinor group spin(n). As a consequence of this computation, we show the non-collapsing of the Rothenberg-Steenrod spectral sequence for n > 16.Comment: This is the version published by Geometry & Topology Monographs on 25 February 200