Results 261 to 270 of about 161,683 (291)

Social Capital and Capital Structure

SSRN Electronic Journal, 2020
I demonstrate that in the context of a Modigliani-Miller-type model that a firm financing social capital and physical capital will favor equity financing over debt financing without bankruptcy. With bankruptcy, debt financing will be used, but equity financing will be favored by firms that use large amounts of social capital, as it will increase their ...
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Empirical corporate capital structure

SSRN Electronic Journal, 2022
Corporate capital structure has been a key, challenging puzzle for finance for more than 50 years. Why do firms use the observed financing methods? The literature has developed useful ideas and a much-improved sense of the relevant facts to solve this puzzle.
Frank, Murray, Goyal, Vidhan
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Capital Structure

2007
Abstract Debt is bad, right? Persons who have not studied economics, particularly the economics of finance, are likely to agree that debt is bad. While it may sometimes be necessary for a firm to borrow money to finance a new project, clearly the sooner the debt is paid off, the wealthier the firm’s shareholders will be. For a particular
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Working Capital and Capital Structure

2020
This chapter attempted to investigate how working capital and its components affect capital structure decisions of 1681 Indian MSMEs across a period of 12 years (2006–2017). The chapter results confirm that working capital and its components have a significant impact on both long-term and short-term debt use.
Nufazil Altaf, Farooq Ahmad Shah
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Capital structure

2018
Overwiew of research on npos' capital ...
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Liquidity and Capital Structure

SSRN Electronic Journal, 2009
Abstract We examine the relation between equity market liquidity and capital structure. We find that firms with more liquid equity have lower leverage and prefer equity financing when raising capital. For example, after sorting firms into size quintiles and then into liquidity quintiles, the average debt-to-asset ratio of the most liquid quintiles is
Marc L. Lipson, Sandra Mortal
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Corporate capital structure actions

Journal of Banking & Finance, 2016
Existing empirical models of corporate leverage do a good job of predicting the cross section pattern of debt and equity repurchases. However, they do a poor job predicting debt and equity issuing. To improve the performance we use a large number of macroeconomic variables in reduced rank regression to estimate leverage targets based on firm-specific ...
Murray Z. Frank, Tao Shen
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Capital Structure Puzzle [PDF]

, 1984
This paper contrasts the "static tradeoff" and "pecking order" theories of capital structure choice by corporations. In the static tradeoff theory, optimal capital structure is reached when the tax advantage to borrowing is balanced, at the margin, by costs of financial distress.
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International Capital Structure Equilibrium

The Journal of Finance, 1990
ABSTRACTThis paper develops a theory of capital structure in an international setting with corporate and personal taxes. We generalize the Miller analysis to an international equilibrium characterized by differential international taxation and inflation in otherwise perfect international capital markets.
Hodder, James E, Senbet, Lemma W
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Firm-Specific Human Capital and Optimal Capital Structure

International Economic Review, 1994
Summary: We consider the moral hazard in managers undersupplying imperfectly- marketable firm-specific human capital. Firms may cope by granting long- term wage contracts that protect managers against employment termination. Although ex ante efficient, these contracts may be ex post inefficient when managerial ability is discovered to be low ...
Jaggia, Priscilla Butt, Thakor, Anjan V
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