This paper examines the effects of determinants of capital structure on firm's equity market value. The underlying assumption is that when a firm changes its capital structure, it actually changes the relative position and the market values of its securities' holders. This is the signaling...

The practice of capital structure decisions is dominated by three theories of capital structure; trade-off, pecking order, and free cash flow. None of the three theories presents a complete answer to the determinants of capital structure. This study utilizes the Bayesian quot;Stochastic Search...

It has been realized that none of the three basic theories of capital structure presents a complete answer to the actual determinants of corporate financing decisions. This study attempts to model the practice of capital structure decisions according to the basic premises of each theory of...

This paper examines the effects of determinants of capital structure on firm's equity market value. The underlying assumption is that when a firm changes its capital structure, it actually changes the relative position and the market values of its securities' holders. This is the signaling...