Rapidly rising corporate debt: are firms now vulnerable to an economic slowdown?

Hong, Gijoon; Osler, Carol L.

Journal Article

Rapidly rising corporate debt: are firms now vulnerable to an economic slowdown?

Abstract: The buildup of debt in the late 1990s has raised concerns about the U.S. nonfinancial corporate sector's health and its vulnerability to economic downturns. An analysis of the sector suggests that while small firms are experiencing some weakness, corporations as a group are in good financial shape.

Keywords: Debt; Corporations - Finance;