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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...
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This paper investigates how entrepreneur’s characteristics determine debt financing of small manufacturing firms. In … entrepreneur’s educational level on small firm debt financing. Research results show that small firm debt financing is determined …
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