This paper examines how political leaders change moderates the impact of corporate political activity (CPA) on borrower discouragement, using a global dataset of 24,167 firms. While CPA generally reduces discouragement, its effectiveness is significantly diminished during political transitions, as the “know-who” channel becomes unreliable.
Bertrand J., Léon F. Perrin C. (2025) "Loans, Link and Leadership: Political Change and Borrower Discouragement in Connected Firms", Ferdi Document de travail P351, mars.
