@article{Zinych:7834,
      recid = {7834},
      author = {Zinych, Nataliya and Odening, Martin and Huettel, Silke},
      title = {Financial constraints in economic transition: Empirical  evidence from Ukrainian large farms},
      address = {2007},
      number = {689-2016-47260},
      series = {European Association of Agricultural Economists 104th  Seminar - 2007},
      pages = {14},
      year = {2007},
      abstract = {This paper addresses the question of financial constraints  in Ukrainian agriculture in
transition. The main objective  is to reveal the evidence of the both phenomena, soft  budget
constraints and credit rationing, investigating  investment behaviour of large farms in Ukraine.
Our  empirical analysis is based on unbalanced panel data  containing 529 agricultural
enterprises from three  Ukrainian regions between 2001 and 2005. Estimates of the  Euler
investment equation for several sub-samples reveal a  dissimilar level of financial constraints.
We confirm the  presence of the soft financial environment (soft budget  constraints) for the
Ukrainian large farms being in an  unconstrained financial regime. The farms belong to  this
regime if they receive credits after being  unprofitable in two consecutive years. The other
farms  defined a priori as being in an constrained financial  regime face evidence of credit
rationing. With regard to  the empirical results, we derive macroeconomic implications  of
financial constraints in the agriculture of Ukraine.},
      url = {http://ageconsearch.umn.edu/record/7834},
      doi = {https://doi.org/10.22004/ag.econ.7834},
}