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Evaluating Target Behavior in Firm Financing by Cem Demiroglu is a document available to read on EtoBox.

This paper examines the evidence for the notion that firms have target debt ratios influencing their financing behavior. The authors find that much of the empirical support for target behavior can also be replicated in scenarios where financing decisions are random and unrelated to current or target debt ratios. Their results suggest that existing tests may not effectively distinguish between target behavior and alternative theories of financing, indicating a need for further scrutiny of the methodologies u

Author

Cem Demiroglu

Language

EN