Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments January 12, 2022 erstellt
Description:
We propose an accounting framework that maps the dispersion of borrowing costs along the debt maturity structure to the misallocation of productive resources. Specif- ically, we decompose the effects of credit misallocation into two distinct channels: limited access to debt finance (scale effect) and distortion in the composition of debt across maturities (composition effect). Our estimates suggest that an efficient alloca- tion of debt could increase TFP by about 13% in US manufacturing - more than half of which is attributable to composition of debt. Once firm level heterogeneity including asset maturity structure is accounted for, over 70% of the estimated TFP loss arises from the composition effect