... in probability estimation. To the best of our knowledge, we are first to combine all four main types of capital providers and design choice models to test the relationship. Two important limitations of the existing literature on Credit Ratings (CRs) and capital structure are that, first, it limits CRs...

...Shuangrui Fan; Cong Wang Purpose This paper investigates the relationship between ultimate ownership, capital structure and firm performance in the Chinese context. Design/methodology/approach This study uses a sample of publicly listed manufacturing firms in China over a 12-year period...

... Publishing Limited 2025 Emerald Publishing Limited Licensed re-use rights only Equity market timing Seasoned equity offering Equity overpricing Ownership structure Board structure Capital structure Thailand G32 G12 Timing activities in the stock markets are related to companies...

...Marco Botta Purpose The paper investigates if the process that led to the birth of the Euro Area had a significant impact in homogenizing the capital structure decisions of European firms since the first introduction of the common currency. Design/methodology/approach A large sample of firms...

...Karolina Krystyniak; Viktoriya Staneva Purpose This study seeks to identify the main determinants of the optimal capital structure by reexamining the interpretation of the conventional set of explanatory variables used as proxies for the costs and benefits of debt in the context of the dynamic...

...Twahir Khalfan; Stefan Wendt Purpose The purpose of this paper is to provide empirical insight into the impact of a financial crisis on capital structure of private firms. Specifically, the authors use the example of the systemic Icelandic financial crisis from 2008 to 2010 and analyze...

... helpful to a merely single firm or industry, is risky and can substantially affect capital structure. In their research, Jaggia and Thakor (1994) modeled a moral hazard problem, where managers invest insufficient efforts in developing their firm-specific human capital. They found that leverage...

...Yee Peng Chow; Junaina Muhammad; A.N. Bany-Ariffin; Fan Fah Cheng Purpose The purpose of this paper is to examine how corporate governance moderates the relationship between macroeconomic uncertainty and corporate capital structure. Design/methodology/approach This paper employs the two-step...

... and Majluf, 1984) does not advocate an optimal capital structure, but a hierarchy of funding sources. Firms prefer internal to external funds, and, when outside funds are needed, they prefer debt to equity because of lower costs associated with the former. In this context, it is expected that more profitable...

...Satish Kumar; Sisira Colombage; Purnima Rao Purpose The purpose of this paper is to study the status of studies on capital structure determinants in the past 40 years. This paper highlights the major gaps in the literature on determinants of capital structure and also aims to raise specific...

..., significantly affect both finance-seeking behaviour and outcomes. The authors find evidence that the pecking-order and agency cost theories of capital structure at least partly explain the financial behaviour of Australian SMEs. Research limitations/implications – Several of the responses...

...Tatiana Albanez Purpose – The purpose of this paper is to examine the market timing behavior of listed Brazilian companies to verify the effects of the cost of capital on their financing decisions, and hence on their capital structure. Design/methodology/approach – The relation between...

... – Consistent with corporate survey results, this empirical analysis suggests that changes in capital structure are largely supply driven, and REIT managers “time” the debt market in response to credit conditions. Originality/value – This research clarifies the causes of the documented leverage pattern...

...Razali Haron Purpose – The purpose of this paper of this study is to examine the possible factors contributing to the issue of inconclusiveness in capital structure studies. This study also attempts to provide logical explanations to the unresolved issue of inconsistencies in the relationship...

... is to assess the impact of interest on equity (IOE) on capital structure decisions. Design/methodology/approach – The initial sample consisted of 524 publicly traded companies from different industries in the Brazilian capital market that were listed on Bovespa. Companies in the finance, insurance...

... and measures of financial flexibility? Do financially flexible firms suffer a lower impact from the crisis? Is financial flexibility related to business flexibility? and Is financial flexibility important for the firm's capital structure decision? Design/methodology/approach This paper employs two methods...

...Ludwig Reinhard; Steven Li Purpose The purpose of this paper is to investigate whether existing capital structure target adjustment models are able to identify whether companies adjust their capital structures towards an (unobservable) target. Design/methodology/approach Existing capital...

... and explains – in contrast to many other theoretical models – why bad borrowers tend to pledge more collateral. Christian Koziol can be contacted at: c.koziol@uni‐mannheim.de © Emerald Group Publishing Limited 2007 Bankruptcy Capital structure Borrowing Interest Collateral...

...Cécile Carpentier Purpose This paper aims to test the irrelevance proposition whereby changes in capital structure do not affect firm value. Design/methodology/approach The long‐run effect of changes in capital structure on firm value is examined, using a sample of 243 French firms over...

... Publishing Limited 2005 International organizations Debt financing Capital structure Shareholders Emerging markets Determinants of corporate debt financing constitute the subject of many national and international studies in the finance literature. The important determinants of corporate...