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Archive » February 2015 » Innovation and credit risk during the crisis

Innovation and credit risk during the crisis

Roberto Barontini
February 2015 - n. 2
Jel codes: G21, G32, O31

This paper examines the riskiness of a sample of Italian Smes through the financial crisis, taking into account, in particular, the dynamics of corporate ratings of innovative firms. Within six industrial sectors, we compare the risk dynamics of innovative firms, that filed for at least one patent application in 2005 at the European Patent Office, with a control group composed by firms of the same size. Results show that innovative Smes have a better financial performance and receive a better rating in 2006; even if during the crisis their riskiness increased, innovation seems to induce better performance, mitigating the effect of the crisis


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