Wang, Chih-Yung; Chen, Yu-Fen; Yu, Chia-Wen - In: Economics Letters 119 (2013) 3, pp. 332-335
We compare post-financing stock performance for debt-issuing portfolio with equity-issuing one in Taiwan to identify whether firms’ financing decisions were driven by managerial optimism or market timing. Our result supports corporate financing decisions in Taiwan are driven by managerial...