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Financial Distress and Leverage Dynamics by aldys rosalinda is a document available to read on EtoBox.

This paper examines how financial distress impacts corporate capital structure decisions when leverage dynamics are considered. The authors estimate the probability of financial distress for firms using a hazard model and use this as a measure of financial distress costs. They find that when leverage dynamics are excluded from their model, higher financial distress is associated with higher leverage, but when leverage dynamics are included, the relationship between financial distress and leverage becomes ne

Author

aldys rosalinda

Language

EN