- A Greenspan, Testimony before the Committee on Banking and Financial Services, US House of Representatives, 30 January 1998
- LH Summer, Opportunities Out of Crises: Lessons from Asia, Remarks to the Overseas Development Council, From the Office of Public Affairs—Februrary 2, 1998. See also LH Summers, “International Financial Crises: Causes, Prevention and Cures” (2000) 90 (2) American Economics Review Papers and Proceedings 1; JA Frankel, “The Asian Model, the Miracle, the Crisis and the Fund”, Paper delivered at the US International Trade Commission, 16 April 1998; ES Phelps, “The Global Crisis of Corporatism” The Wall Street Journal, 25 March 1999; S Johnson, P Boone, A Breachand E Friedman “Corporate Governance in the Asian Financial Crisis” (2000) 58 Journal of Financial Economics 141; IMF, World Economic Outlook: Interim Assessment (Washington DC, IMF, 1997); IMF, World Economic Outlook and International Markets (Washington DC, IMF, 1998); US Council for Economic Advisers, Economic Report of the President (Washington DC, US Government Printing Office, 1998); US Council for Economic Advisers, Economic Report of the President (Washington, DC, US Government Printing Office, 1999).
- See, eg, H-J Chang, “The Hazard of Moral Hazard—Untangling the Asian Crisis” (2000) 28 (4) World Development; E Sakakibara, “The East Asian Crisis—Two Years Later” in Annual World Bank Conference on Development Economics 2000 (The International Bank Reconstruction and Development/The World Bank, 2001) 243; A Singh and B Weisse, “The Asian Model: A crisis foretold?” (1999) 160 International Social Science Journal 203; J Stiglitz, “Reforming the Global Financial Architecture: Lessons from Recent Crises” (1999) 54(5) Journal of Finance 1508.
- A Singh, (1997) “Financial Liberalisation, Stock Markets and Economic Development” (1997) 107 Economic Journal 771.
- See further A Singh, A Singh and B Weisse, Corporate Governance, Competition, the New International Financial Architecture and Large Corporations in Emerging Markets (Cambridge, Centre for Business Research Discussion Paper, No. 250, 2002. Forthcoming in the UN publication Management of Capital Flows: Comparative experiences and implications for Africa, UNCTAD).
- M Camdessus, Speech to Transparency International (1998) reported in the IMF Survey, 9 February 1999.
- J Wolfensohn, quoted on Worldbank.org in “Remarks by Mark Baird, Transparency and Corporate Governance” 25 April 2000.
- R La Porta, F Lopez-de-Silanes, A Shleifer and RW Vishny, “Legal Determinants of External Finance” (1997) 54 Journal of Finance 471; R La Porta, F Lopez-de-Silanes, A Shleifer and RW Vishny, “Law and Finance” (1998) 106 Journal of Political Economy 1113; R La Porta, F Lopez-de-Silanes, A Shleifer and RW Vishny “Investor Protection: Origins, Consequences, Reform” Harvard Institute for Economic Research, Harvard University Discussion Paper No. 188, October (1999); R La Porta, F Lopez-de-Silanes, A Shleifer and RW Vishny “Agency Problems and Dividend Policies Around the World” (2000) Journal of Finance Vol. LV, No. 1, pp 1–33, February 2000.
- See A Singh, and J Hamid, Corporate Financial Structures in Developing Countries (Washington DC, World Bank, IFC Technical Paper 1, 1992); A Singh, Corporate Financial Patterns in Industrializing Economies: A Comparative International Study (Washington DC, World Bank, IFC Technical Paper 2, 1995); G Whittington, V Saporta, and A Singh, The Effect of Hyper-Inflation on Accounting Ratios—Financing Corporate Growth in Industrial Economies (Washington DC, World Bank, IFC Technical Paper 3, 1997); Singh, “Financial Liberalisation” (supra, n. 4); A Singh and B Weisse, “Emerging Stock Markets, Portfolio Capital Flows and Long-Term Economic Growth: Micro and Macro Perspectives” (1998) 26 (4) World Development 607; J Glen, K Lee and A Singh, Competition, Corporate Governance and Financing of Corporate Growth in Emerging Markets (University of Cambridge, Department of Applied Economics, Cambridge Discussion Paper in Accounting and Finance No AF46, 2000).
- The sample frame of Singh and Hamid, Corporate Financial Structures (supra), was the 50 largest manufacturing corporations quoted on the stock markets in nine emerging countries, Thailand, South Korea, India, Turkey, Pakistan, Mexico, Jordan, Zimbabwe and Malaysia. Singh, Corporate Financial Patterns (supra), extended the coverage normally to the 100 largest quoted manufacturing firms in each country and included Brazil in the sample of emerging markets. The latter study, while broadly confirming the conclusions of the earlier research, also qualified them in some important ways. (See further Singh and Weisse, “Emerging Stock Markets” supra, and also infra).
- The seminal review article on the theoretical issues is M Harris and A Raviv, “The Theory of Capital Structure” (1991) 46(1) Journal of Finance 297. An authoritative recent contribution is SC Myers, “Capital Structure” (2001) 15 (20 The Journal of Economic Perspectives 81.
- Supra.
- F Modigliani and MH Miller, “The Cost of Capital, Corporate Finance and the Theory of Investment” (June 1958) 48 (4) American Economic Review 261.
- S Myers and N Majluf, “Corporate Financing and Investment Decisions When Firms Have Information that Investors Do Not Have” (1984) 13 Journal of Financial Economics 187.
- Singh, “Financial Liberalisation” (supra, n. 4); J Mullins, “Emerging Equity Markets in the Global Economy” (Summer 1993) FRBNY Quarterly Review 54.
- See further J Tirole, “Privatisation in Eastern Europe: Incentives and the Economics of Transition” in OJ Blanchard and SS Fischer (eds) NBER Macroeconomics Manual 1991 (Cambridge MA, The MIT Press, 1991); Singh, “Financial Liberalisation” (supra, n. 4)
- Myers and Majluf, “Corporate Financing” (supra, n. 14).
- Net assets refers to the book value of a firm's total assets minus current liabilities.
- Such deficits exist, as we know from the recent experience of the United States, in advanced countries as well but they tend to be much larger in emerging markets with new stock market institutions.
- See further MA El-Erian and MS Kumar, “Emerging Equity Markets in Middle Eastern Countries” in World Bank Conference on Stock Markets, Corporate Finance and Economic Growth (Washington DC, The World Bank, 16–17 February 1994).
- Singh Corporate Financial Patterns (supra, n. 9); Singh, “Financial Liberalisation” (supra, n. 4).
- See further Singh and Weisse, “Emerging Stock Markets” (supra, n. 9) and A Singh, “Should Africa promote stock market capitalism?” (1999) 11 Journal of International Development 343.
- A Shleifer and R Vishny, “A Survey of Corporate Governance” (1997) 52 Journal of Finance 737.
- Singh Corporate Financial Patterns (supra, n. 9).
- SJ Prais, The Evolution of Giant Firms in Britain (Cambridge University Press, 1976).
- Singh Corporate Financial Patterns (supra, n. 9). This qualified an important conclusion of Singh and Hamid, Corporate Financial Structures (supra, n. 9). See further Singh, Corporate Financial Patterns (supra, n. 9) 21 and also Singh and Weisse, “Emerging Stock Markets” (supra, n. 9).
- See also D Cobham and R Subramaniam, “Corporate Finance in Developing Countries: New Evidence for India” (1998) World Development; C Samuel, The Stock Market as a Source of Finance: A Comparison of US and Indian Firms (Washington DC, World Bank Policy Research Working Paper 1592, 1996).
- Singh Corporate Financial Patterns (supra, n. 9).
- Whittington, Saporta, and Singh, The Effect of Hyper-Inflation (supra, n. 9).
- Ibid.
- Singh Corporate Financial Patterns (supra, n. 9).
- These issues are of course more complex; for a detailed discussion see Singh Corporate Financial Patterns (supra, n. 9).
- In the case of the UK, the rejection of the hypothesis is unequivocal. For the US the results are more marginal especially if the information in Table 5 is also taken into account. The latter which excludes short term external financing indicates that marginally more finance came from internal sources than from long term debt. However long term external finance as a whole greatly exceeded internal finance.
- This exercise for the 1990s is a much simpler version of the analysis of the measurement biases on the basis of the 1980s data carried out by Whittington et al.: Whittington, Saporta, and Singh, The Effect of Hyper-Inflation (supra, n. 9).
- The analysis of this section is based on Singh, Singh and Weisse, “Corporate Governance” (supra, n. 5), Singh, “Should Africa promote stock market capitalism?” (supra, n. 22), and Singh (1998a).
- JM Keynes, The General Theory of Employment, Interest and Money (New York, Harcourt, Brace and Company, 1936).
- J Tobin, “On the efficiency of the financial system” (1–15 July 1984) Lloyds Bank Review.
- For modern treatments of the subjects, see for example, F Alan and D Gale, Comparing Financial Systems (Cambridge, Mass, London, MIT Press, 2001) and RJ Shiller, Irrational Exuberance (New Jersey, Princeton University Press, 2000).
- See collection of studies in ME Porter, “Capital disadvantage: America's falling capital investment system”(September—October 1992) Harvard Business Review 65. See also A Singh, “The Anglo-Saxon market for corporate control: The financial system and international competitiveness” in C Howes and A Singh (eds) Competitiveness Matters: Industry and economic performance in the US (Ann Arbour, University of Michigan Press, 2000).
- See further A Bhide, “The hidden cost of stock market liquidity” (1994) 34 Journal of Financial Economics 31.
- A Singh, Take-overs, Their Relevance to the Stock Market and the Theory of the Firm (Cambridge University Press 1971); A Singh, “Take-overs, Economic Natural Selection and the Theory of the Firm” (September 1975) Economic Journal, 497–515; A Singh, “Corporate Take-overs” in J Eatwell, M Milgate and P Newman (eds), The New Palgrave Dictionary of Money and Finance (London, Macmillan, 1992) 480; Singh, “The Anglo-Saxon market for corporate control” (supra, n. 39).
- A Hughes, “Mergers and Economic Performance in the UK: A Survey of the Empirical Evidence 1950–1990” in J Fairburn and JA Kay (eds), Mergers and Merger Policy (Oxford, 2nd edn, 1991) 30–98.
- A Singh, Corporate Financial Patterns (supra, n. 9); A Singh (1998a) “Liberalization, the stock market and the market for corporate control: a bridge too far for the Indian economy?” In IJ Ahluwalia and IMD Little (eds) India's economic Reforms and Development: Essays for Manmoham Singh (Oxford, OUP, 1998).
- See further Singh, “Take-overs, Economic Natural Selection and the Theory of the Firm” (supra, n. 41); Singh, “Corporate Take-overs” (supra, n. 41).
- A Peacock and G Bannock, Corporate take-overs and the public interest (Aberdeen: Aberdeen University Press for the David Hume Institute, 1991).
- See for example JC Stein, “Efficient stock markets, inefficient firms: A model of myopic corporate behaviour” (November 1989) Quarterly Journal of Economics, 655–669.
- A Shleifer and L Summers, “Breach of trust in hostile take-overs” in A Auerbach (ed) Corporate takeovers: Causes and consequences. (Chicago, University of Chicago, 1988).
- See further A Singh, Foreign Direct Investment and International Agreements: A South Perspective. Occasional Paper, Trade-Related Agenda, Development and Equity (South Centre, 2001).
- Singh and Weisse, “Emerging Stock Markets” (supra, n. 9); See also A Singh (1998a) (supra, n. 43).
- MR Mayya, Reflections on the Changing Scenario of the Indian Stock Markets (Bombay, AD Schroff Memorial Trust, 1995).
- N Balasubramanian, Corporate Financial Policies and Shareholder Returns: the Indian Experience (New Delhi, Himalaya Publishing House, 1993).
- Reserve Bank of India, Report on Currency and Finance 1994–1995 (Bombay, RBI, 1995).
- Singh and Hamid, Corporate Financial Structures (supra, n. 9).
- Singh Corporate Financial Patterns (supra, n. 9).
- The World Scope data set analysed in this paper covers only the period 1992–1996. For a study of the evolution of financing patterns in the following years, see P Pal, “Stock Market Development and its Impact on the Financing Pattern of the Indian Corporate Sector” NSE Research Initiative, Working Paper No 004 (Mumbai, India, 2001).
- Pal, ibid.
- Mullins, “Emerging Equity Markets” (supra, n. 15).
- K Gugler, D Mueller and BB Yurtoglu, “The Impact of Corporate Governance on Investment Returns in Developed and Developing Countries” (University of Vienna manuscript, 2002).
Journal of Corporate Law Studies
Volume 3, 2003 - Issue 1