Relationship banking and debt choice: Evidence from Japan

Research output: Contribution to journalArticle

15 Citations (Scopus)

Abstract

The purpose of this paper is to test hypotheses regarding the mix of bank borrowing and bonds that occur under relationship banking, thereby constructing a detailed data set on the debt structure of large Japanese firms from the late 1980s to the 1990s. We show that debt choice is affected by main bank relationships, in the sense that successful firms with strong bank ties are much more likely to issue public bonds than resort to bank borrowing.

Original languageEnglish
Pages (from-to)408-418
Number of pages11
JournalCorporate Governance
Volume13
Issue number3
DOIs
Publication statusPublished - 2005 May

Fingerprint

Relationship banking
Japan
Debt
Borrowing
Hypothesis test
Resorts
Japanese firms
Bank relationships
Main bank
Debt structure

Keywords

  • Debt choice
  • Financial deregulation
  • Relationship banking

ASJC Scopus subject areas

  • Management of Technology and Innovation
  • Strategy and Management
  • Business, Management and Accounting(all)

Cite this

Relationship banking and debt choice : Evidence from Japan. / Arikawa, Yasuhiro; Miyajima, Hideaki.

In: Corporate Governance, Vol. 13, No. 3, 05.2005, p. 408-418.

Research output: Contribution to journalArticle

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