Smaller firms tend to raise most of their outside capital from private sources, mainly banks. As firms

Question:

Smaller firms tend to raise most of their outside capital from private sources, mainly banks. As firms become larger, they obtain greater proportions of their outside capital needs from the public markets.

Explain why.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Financial Markets And Corporate Strategy

ISBN: 9780071157612

2nd Edition

Authors: Mark Grinblatt, Sheridan Titman

Question Posted: