Purpose –This paper seeks to estimate the impact of capital structure selection on performance in Ghana.Design/methodology/approach – Generalized Methods of Moments (GMM) is used in the study in estimating the relationship between the leverage level and bank's performance.Findings – The...

Do entrepreneurs work less or harder when they borrow more? This paper tests how entrepreneurial effort is affected by the firm's financing choice. In line with the typical agency theory prediction, entrepreneur effort is negatively related to the magnitude of equity financing. Furthermore,...

This paper analyses the financing decisions of publicly traded companies in Turkey by estimating a dynamic capital structure model and using a panel of 227 industrial firms during the period 1990 to 2002. The approach adopted in this study allows for unobserved time-invariant firm heterogeneity...

This paper examines the effect of capital structure on the firms' performance. The study collected data from seventeen firms listed on the Ghana Stock Exchange from 2009 to 2018. A quantitative research technique is used to collect data to test two hypotheses. Panel data regression is employed...

This paper examines the effect of state control and ownership structure on leverage decision of firms listed in Chinese stock market. Our results show that state-owned enterprises (SOEs) have higher leverage ratios than non-SOEs, and SOEs in regions with a poorer institutional environment have...

In this paper, we evaluate firm-, industry- and country-specific factors determining a firm's capital structure. The empirical validity of several capital structure theories has been ambiguous so far. We shed light on the main drivers of leverage and depict differences in industry and country...

Changes in corporate credit ratings affect subsequent capital structure decisions. The results for listed companies in our U.S. sample support Kisgen's (2006, 2009) credit rating-capital structure hypothesis. However, applying a system GMM system approach, the implications of this hypothesis are...

Using prospect theory, we develop a theoretical framework to examine the relationship between leverage and Real Estate Investment Trust (REIT) returns by introducing the concept of reference point. We postulate that firms' capital structure decisions are affected by a target leverage ratio...

The purpose of this study is to investigate empirically the impact of capital structure on firm performance. This study examined the impact of capital structure on firm performance of manufacturing sector SMEs in UK for the period of 1998-2008. The authors hypothesize that there is a negative...

This research is an attempt to gauge the impact of capital structure (leverage) on the financial performance of companies listed on the KSE in the cement sector. The data was extracted for a period of seven years from 2009 – 2015. The total firms listed in the sector are 18 out of which data...