search query: @indexterm capital structure of companies / total: 353
reference: 10 / 353
| Author: | Ovtchinnikov, A.V. |
| Title: | Capital structure decisions: Evidence from deregulated industries |
| Journal: | Journal of Financial Economics
2010 : FEB, VOL. 95:2, p. 249-274 |
| Index terms: | finance policy capital structure of companies deregulation industries USA |
| Language: | eng |
| Abstract: | Firms' operating environment and leverage decisions are significantly affected by deregulation. Firms experience a significant decline in profitability, asset tangibility and a significant increase in growth opportunities. Firms respond by reducing leverage. Also, the cross-sectional relation btw. leverage and its determinants is affected. Leverage is much less negatively correlated with profitability and market-to-book and much more positively /(negatively) correlated with firm size /(earnings volatility) after deregulation. These results are consistent with the dynamic trade-off theory of capital structure. |
SCIMA