TY - BOOK ID - 84540564 TI - Financial Liberalization, Credit Constraints, and Collateral : Investment in the Mexican Manufacturing Sector AU - Gelos, Gaston. AU - Werner, Alejandro. PY - 1999 SN - 1462337961 1452763410 1281605638 1451892047 9786613786326 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Econometrics KW - Financial Risk Management KW - Money and Monetary Policy KW - Industries: Financial Services KW - Financial Markets and the Macroeconomy KW - Investment KW - Capital KW - Intangible Capital KW - Capacity KW - Information and Market Efficiency KW - Event Studies KW - Economic Development: Financial Markets KW - Saving and Capital Investment KW - Corporate Finance and Governance KW - Monetary Systems KW - Standards KW - Regimes KW - Government and the Monetary System KW - Payment Systems KW - Monetary Policy, Central Banking, and the Supply of Money and Credit: General KW - Banks KW - Depository Institutions KW - Micro Finance Institutions KW - Mortgages KW - Estimation KW - Financial Crises KW - Monetary economics KW - Finance KW - Econometrics & economic statistics KW - Economic & financial crises & disasters KW - Currencies KW - Credit KW - Collateral KW - Estimation techniques KW - Financial crises KW - Money KW - Financial institutions KW - Econometric analysis KW - Loans KW - Econometric models KW - Mexico UR - https://www.unicat.be/uniCat?func=search&query=sysid:84540564 AB - This paper examines the impact of financial liberalization on fixed investment in Mexico, using establishment-level data from the manufacturing sector. It analyzes changes in cash-flow sensitivities and uses an innovative approach to explore the role of real estate as collateral and deal with a potential censoring problem. The results suggest that financial constraints were eased for small firms but not for large ones. However, banks’ reliance on collateral in their lending operations increased the importance of real estate. The results provide microeconomic evidence consistent with the role attributed to “financial accelerator” mechanisms during lending booms and during recessions that stem from financial crises. ER -