German firms thrive with high debt during financial crisis, study finds.
The study looked at how the financial crisis affected German companies' performance based on their debt levels. They used data from 3372 firms over 9 years and found that the crisis didn't hurt firms' performance in relation to their debt. In fact, having more debt was linked to better performance during and after the crisis. The findings also showed that there was no evidence of a specific pattern between debt levels and performance as suggested by previous research.