2021
DOI: 10.21315/aamjaf2021.17.2.8
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Corporate leverage and monetary policy transmission mechanism in India: A dynamic approach.

Abstract: The macroeconomic policies of a nation have a major bearing on the financial performance of the companies and their potential sustainability and growth. This study investigates the impact of monetary policy on the corporate leverage adjustment through microscopic monetary policy transmission channels, mainly the interest rate and credit channels, using a sample of 422 manufacturing firms in India from 2011 to 2017 by employing partial adjustment model. The findings suggest that contractionary monetary policy c… Show more

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