Capital Structure and Stock Liquidity Relations
|Keywords||Capital Structure Stock Liquidity Simultaneous equation model Two -stage least squares|
Corporate capital structure reflects the different sources of funding , which is a listed company equity financing a major source of funding , so the cost of equity financing - stock liquidity and capital structure exists between some causal relationship . At present, few studies scholars involved in this regard, some of the capital structure of foreign literature accessible to liquidity and capital structure of the causal relationship ( eg fluidity of capital structure ) , but this article is that the interaction between these two variables , the linkage decision. This paper from China corporate finance situation and China's stock market liquidity realistic background, home and abroad through the theory and empirical research summarized the proposed stock liquidity and capital structure of the company whether there is a relationship between the proposition and analyzes the proposition of practical significance. Then, the definition of capital structure as well as factors related to the meaning of the theory and liquidity as well as factors related theories were analyzed , and the capital structure and stock liquidity explore the relationship between theory proposed relationship between the two studies assumptions. Through the sample descriptive statistics , factors, and identify research study sample , and the establishment of the capital structure and the relationship between stock liquidity simultaneous equations model . In the empirical study, the paper were gearing ratio , short-term and long-term debt ratio debt ratio to represent the capital structure to turnover and weak liquidity ratios to denote stock liquidity , and the use of two -stage least squares and panel data Empirical Analysis of capital Structure and liquidity relationship . And to look at the different sectors of the empirical results. Finally, learn from the advanced experience of foreign mature markets , and in the theoretical analysis and empirical research on the basis of this paper, the development of China's securities market made ??policy recommendations.