This research assesses the effect of capital adequacy on the corporate performance of quoted non-financial firms operating in Nigeria. Several studies on the influence of capital adequacy on corporate performance have been conducted without specific focus on non-financial entities despite their...

This paper explores whether corporate tax bias toward debt finance differs between banks and nonbanks, using a large panel of micro data. On average, it finds that there is no significant difference. The marginal tax effect for both banks and non-banks is close to 0.2. However, the...

Purpose – The purpose of this paper is to investigate whether capital structure affects the performance of non-financial firms in Pakistan. Design/methodology/approach – Panel econometric techniques namely pooled ordinary least squares (OLS), fixed effects, and random effects were used to...

This study suggests the preponderance of the pecking order theory over the trade-off theory when there are greater problems of information asymmetry, which is more usual in small-sized firms. The results show that debt level has an inverse relationship with non-debt tax shield and direct...

This paper investigates how the asset-return variance risk premium changes leverage. I find that the premium lowers leverage by increasing risk-neutral bankruptcy probability and costs in a model where asset returns have stochastic variance with risk premium. Empirically, the model calibrations...