adjustment behavior towards target leverage policy, this study uses the GMM (generalized method of moments) models of Arellano … targeting behavior of Chinese firms towards leverage and the determinants of leverage policy in China at various levels. Methods … adjustment speed towards a target level of leverage. The study finds that Chinese firms have a target level of leverage and firms …

between growth and investment; this association is enhanced by leverage, especially for high-growth firms. This supports the … view that short-term debt helps Chinese firms to make optimal use of leverage and therefore make better investment … decisions. Furthermore, the results reveal that leverage plays a disciplining and monitoring role to reduce overinvestment …

discretionary accruals and leverage during various life cycle stages can lead to better investing, financing, operating and policy …