Title: Partnership law and credit availability
Description: "Legal and economic historians now emphasize the centrality of organizational law in determining the contractual boundaries of the firm.  Nineteenth-century US law recognized a small set of firm types - proprietorship, partnership and corporation - and enforced the creditor rights and priorities associated with them.  This paper investigates how those creditor rights and priorities influenced the availability of credit.  Using a unique data set from the nineteenth century United States and borrower fixed effects, I find that partnerships paid more for credit than proprietorships.  The interest rate disadvantage for partnerships was offset by their ability to finance larger and longer-horizon entrepreneurial ventures"--National Bureau of Economic Research web site.