Investment and Cash Flow: New Evidence

被引：88

作者：

Lewellen, Jonathan ^{[1
]}

Lewellen, Katharina ^{[1
]}

机构：

[1] Dartmouth Coll, Tuck Sch Business, Hanover, NH 03755 USA

来源：

JOURNAL OF FINANCIAL AND QUANTITATIVE ANALYSIS | 2016年 / 51卷 / 04期

关键词：

FINANCIAL CONSTRAINTS; MEASUREMENT ERROR; SENSITIVITIES; DECISIONS; STOCK;

D O I：

10.1017/S002210901600065X

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

We study the investment-cash flow sensitivities of U.S. firms from 1971-2009. Our tests extend the literature in several key ways and provide strong evidence that cash flow explains investment beyond its correlation with q. A dollar of current-and prior-year cash flow is associated with $0.32 of additional investment for firms that are the least likely to be constrained and $0.63 of additional investment for firms that are the most likely to be constrained, even after correcting for measurement error in q. Our results suggest that financing constraints and free-cash-flow problems are important for investment decisions.

引用

页码：1135 / 1164

页数：30

共 20 条

[1] Financial constraints, asset tangibility, and corporate investment
Almeida, Heitor
Campello, Murillo
[J]. REVIEW OF FINANCIAL STUDIES, 2007, 20 (05) : 1429 - 1460
[2] Measurement Errors in Investment Equations
Almeida, Heitor
Campello, Murillo
Galvao, Antonio F., Jr.
[J]. REVIEW OF FINANCIAL STUDIES, 2010, 23 (09) : 3279 - 3328
[3] When does the market matter? Stock prices and the investment of equity-dependent firms
Baker, M
Stein, JC
Wurgler, J
[J]. QUARTERLY JOURNAL OF ECONOMICS, 2003, 118 (03) : 969 - 1005
[4] Investment-cash flow sensitivity cannot be a good measure of financial constraints: Evidence from the time series
Chen, Huafeng
Chen, Shaojun
[J]. JOURNAL OF FINANCIAL ECONOMICS, 2012, 103 (02) : 393 - 410
[5] The relationship between firm investment and financial status
Cleary, S
[J]. JOURNAL OF FINANCE, 1999, 54 (02) : 673 - 692
[6] The Price Is (Almost) Right
Cohen, Randolph B.
Polk, Christopher
Vuolteenaho, Tuomo
[J]. JOURNAL OF FINANCE, 2009, 64 (06) : 2739 - 2782
[7] Measurement error and the relationship between investment and q
Erickson, T
Whited, TM
[J]. JOURNAL OF POLITICAL ECONOMY, 2000, 108 (05) : 1027 - 1057
[8] Treating Measurement Error in Tobin's q
Erickson, Timothy
Whited, Toni M.
[J]. REVIEW OF FINANCIAL STUDIES, 2012, 25 (04) : 1286 - 1329
[9] RISK, RETURN, AND EQUILIBRIUM - EMPIRICAL TESTS
FAMA, EF
MACBETH, JD
[J]. JOURNAL OF POLITICAL ECONOMY, 1973, 81 (03) : 607 - 636
[10] Financing decisions: who issues stock?
Fama, EF
French, KR
[J]. JOURNAL OF FINANCIAL ECONOMICS, 2005, 76 (03) : 549 - 582

← 1 2 →