Anabila, Andrew A. and Whang, Eunyoung 2017. Culture, Capital Structure, and Implications for Accounting Regulation. Journal of Corporate Accounting & Finance, Vol. 28, Issue. 2, p. 22.
Schanz, Deborah Dinkel, Andreas and Keller, Sara 2017. Tax attractiveness and the location of German-controlled subsidiaries. Review of Managerial Science, Vol. 11, Issue. 1, p. 251.
Zhou, Haoyong He, Fan and Wang, Yangbo 2017. Did Family Firms Perform Better during the Financial Crisis? New Insights from the S&P 500 Firms. Global Finance Journal,
An, Zhe Li, Donghui and Yu, Jin 2016. Earnings management, capital structure, and the role of institutional environments. Journal of Banking & Finance, Vol. 68, p. 131.
Awartani, Basel Belkhir, Mohamed Boubaker, Sabri and Maghyereh, Aktham 2016. Corporate debt maturity in the MENA region: Does institutional quality matter?. International Review of Financial Analysis, Vol. 46, p. 309.
Balios, D. Daskalakis, N. Eriotis, N. Vasiliou, D. and McMillan, David 2016. SMEs capital structure determinants during severe economic crisis: The case of Greece. Cogent Economics & Finance, Vol. 4, Issue. 1,
Baum, Christopher F. Caglayan, Mustafa and Rashid, Abdul 2016. Capital structure adjustments: Do macroeconomic and business risks matter?. Empirical Economics,
Belkhir, Mohamed Maghyereh, Aktham and Awartani, Basel 2016. Institutions and corporate capital structure in the MENA region. Emerging Markets Review, Vol. 26, p. 99.
Chen, Jeff Zeyun Lim, Chee Yeow and Lobo, Gerald J. 2016. Does the Relation between Information Quality and Capital Structure Vary with Cross-Country Institutional Differences?. Journal of International Accounting Research, Vol. 15, Issue. 3, p. 131.
Dimitrios, Vortelinosa Konstantinos, Gkillas and Georgios, Alexopoulosc 2016. Structure theories: Panel data evidence from the United Kingdom. Journal of Accounting and Taxation, Vol. 8, Issue. 7, p. 81.
Ezeoha, Abel Ebeh 2016. Corporate Finance in Africa: The Interactive Impact of Firm Nationality and Characteristics. Review of Development Economics,
Francis, Bill B. Hasan, Iftekhar and Kostova, Gergana L. 2016. When do peers matter?: A cross-country perspective. Journal of International Money and Finance, Vol. 69, p. 364.
Haron, Razali 2016. Do Indonesian firms practice target capital structure? A dynamic approach. Journal of Asia Business Studies, Vol. 10, Issue. 3, p. 318.
Huang, Wei Boateng, Agyenim and Newman, Alexander 2016. Capital structure of Chinese listed SMEs: an agency theory perspective. Small Business Economics, Vol. 47, Issue. 2, p. 535.
Keefe, Michael O'Connor and Yaghoubi, Mona 2016. The influence of cash flow volatility on capital structure and the use of debt of different maturities. Journal of Corporate Finance, Vol. 38, p. 18.
McNamara, Andrea Murro, Pierluigi and Donohoe, Sheila O 2016. Countries lending infrastructure and capital structure determination: The case of European SMEs. Journal of Corporate Finance,
Rashid, Abdul 2016. Does risk affect capital structure adjustments?. The Journal of Risk Finance, Vol. 17, Issue. 1, p. 80.
Takami, Shigeo 2016. Factors inhibiting Japanese firms from zero leverage: financial constraints and bank relationships. Asia-Pacific Journal of Accounting & Economics, Vol. 23, Issue. 2, p. 161.
Temimi, Akram Zeitun, Rami and Mimouni, Karim 2016. How does the tax status of a country impact capital structure? Evidence from the GCC region. Journal of Multinational Financial Management, Vol. 37-38, p. 71.
Teng, Min Si, Jiwen and Hachiya, Toyohiko 2016. Banking relationship, relative leverage and stock returns in Japan. Pacific-Basin Finance Journal, Vol. 40, p. 86.
The paper investigates how firms operating in capital market-oriented economies (the U.K. and the U.S.) and bank-oriented economies (France, Germany, and Japan) determine their capital structure. Using panel data and a two-step system-GMM procedure, the paper finds that the leverage ratio is positively affected by the tangibility of assets and the size of the firm, but declines with an increase in firm profitability, growth opportunities, and share price performance in both types of economies. The leverage ratio is also affected by the market conditions in which the firm operates. The degree and effectiveness of these determinants are dependent on the country's legal and financial traditions. The results also confirm that firms have target leverage ratioswith French firms being the fastest in adjusting their capital structure toward their target level and Japanese firms the slowest. Overall, the capital structure of a firm is heavily influenced by the economic environment and its institutions, corporate governance practices, tax systems, the borrower-lender relation, exposure to capital markets, and the level of investor protection in the country in which the firm operates.
This list contains references from the content that can be linked to their source. For a full set of references and notes please see the PDF or HTML where available.
Email your librarian or administrator to recommend adding this journal to your organisation's collection.
Full text views reflects the number of PDF downloads, PDFs sent to Google Drive, Dropbox and Kindle and HTML full text views.
Abstract views reflect the number of visits to the article landing page.
* Views captured on Cambridge Core between September 2016 - 25th May 2017. This data will be updated every 24 hours.