Why do multinational enterprises barrow from local banks?

Economics Letters

Volumn 78, Issue 2, 2003, Pages 287-291

  Du, Julan ^a  

^a CHINESE UNIVERSITY OF HONG KONG   (Hong Kong)

Author keywords

Efficiency enhancement; Home bank; Legal preferential treatment; Local bank; Soft budget constraint

Indexed keywords

EID: 0037292688     PISSN: 01651765     EISSN: None     Source Type: Journal    
DOI: 10.1016/S0165-1765(02)00227-6     Document Type: Article

References (4)

1. Caves, R.E., 1996. Multinational Enterprise and Economic Analysis, 2nd ed.. Cambridge University Press.
2. Dewatripont, M., Maskin, E., 1995. Credit and efficiency in centralized and decentralized economies. Review of Economic Studies 62 (4), 541-555.
3. Huang, H., Xu, C., 1998. Financial budget constraints and the optimal choices of R&D project financing. Journal of Comparative Economics 26 (1), 62-79.
4. Robbins, S.M., Stobaugh, R.B., 1973. Money in the Multinational Enterprise: A Study of Financial Policy. Basic Books, New York.