Financial constraints, R&D investment and productivity in U.S. manufacturing firms
The renewed attention to the linkages among financial constraints, R&D spending and innovative performance has been generated by the economic downturn and productivity growth deceleration noted in many of the industrialised countries. This paper contributes to a growing, but still incomplete, li...
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| Format: | Dissertation (University of Nottingham only) |
| Language: | English |
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2016
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| Online Access: | https://eprints.nottingham.ac.uk/36905/ |
| _version_ | 1848795357250584576 |
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| author | zheng, Jing |
| author_facet | zheng, Jing |
| author_sort | zheng, Jing |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | The renewed attention to the linkages among financial constraints, R&D spending and innovative performance has been generated by the economic downturn and productivity growth deceleration noted in many of the industrialised countries. This paper contributes to a growing, but still incomplete, literature related to these issues, making use of 144 listed U.S manufacturing firms over the period from 2008 to 2014. There are three main findings: firstly, external equity financing is only found to have significant effect on financing R&D investment in mature firms; secondly, cash holdings have consistently significant impacts on R&D smoothing, especially in financially constrained firms; lastly, financially constrained firms (young and low dividend pay-out firms) tend to have higher output-R&D elasticity than unconstrained firms (large firms) and cash holdings negatively moderate the firms’ output-R&D elasticity. These findings demonstrate significant linkages between firm’s real investment decisions and corporate liquidity. They also provide a number of related insights, especially the moderating effect of corporate liquidity in input-output model at the firm level. |
| first_indexed | 2025-11-14T19:30:48Z |
| format | Dissertation (University of Nottingham only) |
| id | nottingham-36905 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T19:30:48Z |
| publishDate | 2016 |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-369052017-10-19T17:06:36Z https://eprints.nottingham.ac.uk/36905/ Financial constraints, R&D investment and productivity in U.S. manufacturing firms zheng, Jing The renewed attention to the linkages among financial constraints, R&D spending and innovative performance has been generated by the economic downturn and productivity growth deceleration noted in many of the industrialised countries. This paper contributes to a growing, but still incomplete, literature related to these issues, making use of 144 listed U.S manufacturing firms over the period from 2008 to 2014. There are three main findings: firstly, external equity financing is only found to have significant effect on financing R&D investment in mature firms; secondly, cash holdings have consistently significant impacts on R&D smoothing, especially in financially constrained firms; lastly, financially constrained firms (young and low dividend pay-out firms) tend to have higher output-R&D elasticity than unconstrained firms (large firms) and cash holdings negatively moderate the firms’ output-R&D elasticity. These findings demonstrate significant linkages between firm’s real investment decisions and corporate liquidity. They also provide a number of related insights, especially the moderating effect of corporate liquidity in input-output model at the firm level. 2016-09-15 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/36905/1/Financial%20constraints%2C%20R%26D%20investment%20and%20productivity%20in%20U.S.%20manufacturing%20firms.pdf zheng, Jing (2016) Financial constraints, R&D investment and productivity in U.S. manufacturing firms. [Dissertation (University of Nottingham only)] R&D investment financial constraints productivity cash holdings |
| spellingShingle | R&D investment financial constraints productivity cash holdings zheng, Jing Financial constraints, R&D investment and productivity in U.S. manufacturing firms |
| title | Financial constraints, R&D investment and productivity in U.S. manufacturing firms |
| title_full | Financial constraints, R&D investment and productivity in U.S. manufacturing firms |
| title_fullStr | Financial constraints, R&D investment and productivity in U.S. manufacturing firms |
| title_full_unstemmed | Financial constraints, R&D investment and productivity in U.S. manufacturing firms |
| title_short | Financial constraints, R&D investment and productivity in U.S. manufacturing firms |
| title_sort | financial constraints, r&d investment and productivity in u.s. manufacturing firms |
| topic | R&D investment financial constraints productivity cash holdings |
| url | https://eprints.nottingham.ac.uk/36905/ |