Detail Debt Composition and Balance Sheet Effect Of Currency Crisis in Indonesia (Presented in 47e Congres annuel de la Societe canadienne de la Science Economique, Quebec, Canada, 16-17 May 2007) Bibliografi Author: Prasetyantoko, A. Ico Tri Topik: maturity mismatch; firm investment; balance sheet effect; financial crisis Bahasa: (EN )     Penerbit: [s.n]     Tempat Terbit: Quebec    Tahun Terbit: 2007     Jenis: Papers/Makalah - pada seminar internasional Fulltext: text - Paper 13 - Quebec.pdf (158.36KB; 1 download) Abstract The fashionable analysis of financial crisis accentuates on the role of corporate debt composition bearing the maturity and currency mismatch problems. By using 179 listed companies in Jakarta Stock Exchange, with at least 5 consecutive years during 1994 – 2004, this paper investigates the role of currency and maturity mismatches in propagating the negative effects of exchange rate depreciations in Indonesia. By nature, depreciations could enhance export performance by its “competitiveness effect”, since price of goods should be cheaper than those of competitor countries. Nevertheless, due to the effects of maturity and currency mismatch, depreciation could decrease net worth of the firms through “balance sheet effect” or “net worth effect”. By dynamic panel data or GMM analysis, this paper finds that firms with more dollar debt have significantly less investment due to exchange rate depreciations. Accordingly, the balance sheet effects of exchange rate devaluations undermine the competitiveness of listed firms in Indonesia so that the effects of crisis have been exacerbated and prolonged through corporate balance sheet channel. This paper also finds that firms with higher foreign asset would have less dollar debt, which may be due to their export activities. Another important finding is that firms with majority foreign ownership have less dollar debt. Opini Anda Klik untuk menuliskan opini Anda tentang koleksi ini! Lihat Sejarah Pengadaan  Konversi Metadata   Kembali

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