The dynamic characteristics and influencing factors of debt structure of the public companies in China
Abstract: Design/methodology/approach:
Learned from Leary (2009), Konstantinos Voutsinas and Richard A.Werner (2011),
this study designs a model of debt maturity structure with an unbalanced panel
data set. It consists of 1352 Chinese listed companies with8124 observations
during the period of 2003-2011. Hausman test hasbeen used, and the findings
support the fixed effects model.Findings: Besidesthe factors that have been
confirmed by previous researches, debt maturitystructure is also sensitive to
other factors, such as economicexpectations, monetary policy, financial
restrictions and changes in tax rates.Research limitations/implications: There
are still many cases, which affect the debt maturitystructure, are worth of
further exploring, for instance, the impactof lagged monetary policy, the
determinants of short-term debt ratio and thecost of operating.Practical
implications: From the macro point of view, research in this area enable
thegovernment to introduce more suitable policies that direct and promote
thedevelopment of the bond market, thus it spurs corporations to choose
theproper finance structure. From the micro point of view, firms can learn
fromthe research to choose the efficient method and term of financing as well
asdebt structure.Originality/value: In some way, conclusions of this
papercontribute to the study of dynamic characteristics and factors of debt
maturitystructure in Chinese listed companies.
Author: Zhefan Piao, Xiaoqi
Feng
Journal Code: jptindustrigg130079
