eprintid: 17751
rev_number: 25
eprint_status: archive
userid: 600
dir: disk0/00/01/77/51
datestamp: 2009-11-25 13:54:31
lastmod: 2015-07-23 09:37:46
status_changed: 2009-11-25 13:54:31
type: article
metadata_visibility: show
item_issues_count: 0
creators_name: Aghion, P.
creators_name: Bond, S.
creators_name: Klemm, A.
creators_name: Marinescu, I.
creators_id: PAGHI04
creators_id: 
creators_id: 
creators_id: 
title: Technology and financial structure: are innovative firms different?
ispublished: pub
subjects: 12000
divisions: F24
keywords: Finance, financing, firm, R&D, shares, technology
note: © 2004 The MIT Press
abstract: We use data on publicly traded U.K. firms to investigate whether financing choices differ systematically with R&D intensity. As well as looking at a balance sheet measure of the debt/assets ratio, we also consider the probability of raising finance by issuing new equity, and the shares of bank debt and secured debt in total debt. We find a nonlinear relationship with the debt/assets ratio: firms that report positive but low R&D use more debt finance than firms that report no R&D, but the use of debt finance falls with R&D intensity among those firms that report R&D. We find a simpler relationship with the probability of issuing new equity: Firms that report R&D are more likely to raise funds by issuing shares than firms that report no R&D, and this probability increases with R&D intensity. The shares of bank debt and secured debt in total debt are both lower for firms that report R&D compared to those that do not, and tend to fall as R&D intensity rises. We discuss possible explanations for these patterns.
date: 2004-04
official_url: http://dx.doi.org/10.1162/154247604323067989
vfaculties: VSHS
oa_status: green
language: eng
primo: open
primo_central: open_green
doi: 10.1162/154247604323067989
lyricists_name: Aghion, P
lyricists_id: PAGHI04
full_text_status: public
publication: Journal of the European Economic Association
volume: 2
number: 2-3
pagerange: 277-288
refereed: TRUE
issn: 1542-4766
citation:        Aghion, P.;    Bond, S.;    Klemm, A.;    Marinescu, I.;      (2004)    Technology and financial structure: are innovative firms different?                   Journal of the European Economic Association , 2  (2-3)   pp. 277-288.    10.1162/154247604323067989 <https://doi.org/10.1162/154247604323067989>.       Green open access   
 
document_url: https://discovery.ucl.ac.uk/id/eprint/17751/1/17751.pdf