This course provides an empirical treatment of major topics in corporate finance and financial intermediation, including: capital structure, investment, bankruptcy, internal capital markets, the real effects of bank lending, financial frictions, and corporate finance implications for macroeconomics.

Business 34903 (or 35902): strict. A solid background in advanced microeconomics is highly recommended. MBA students must get instructor consent to enroll: strict. BUSN 34904=ECON 35080.

Grades will be based on problem sets, referee reports and a final examination. No provisional grades.