We test the assumptions of trade-off theory (TOT) and pecking order theory (POT) regarding corporate leverage. The dependent variable being the debt ratio, we apply a linear model upon a balanced panel data-set of 2,370 French SMEs over the period 2002 - 2010. In accordance to TOT, trade credit...

This paper argues that differences in the dispersion of corporate ownership can help explain why party positions on corporate governance vary across countries and over time. Expectations that left/right conflicts should pitch capital against labor overlook that "capital" is not a homogenous...