文献类型：期刊文献

英文题名：Reliable and Advanced Predictors for Corporate Financial Choices in Pakistan

作者：Shahzad, Umeair[1];Fukai, Luo[1];Mahmood, Faisal[2];Jing, Liu[3];Ahmad, Zahoor[4]

第一作者：Shahzad, Umeair

通讯作者：Shahzad, U[1]

机构：[1]Ocean Univ China, Accounting Dept, Management Coll, 238 Songling Rd, Qingdao 266100, Shandong, Peoples R China;[2]Harbin Inst Technol, Sch Econ & Management, Harbin, Peoples R China;[3]Henan Univ Econ & Law, Zhengzhou, Peoples R China;[4]Beijing Inst Technol, Sch Management & Econ, Beijing, Peoples R China

第一机构：Ocean Univ China, Accounting Dept, Management Coll, 238 Songling Rd, Qingdao 266100, Shandong, Peoples R China

通讯机构：[1]corresponding author), Ocean Univ China, Accounting Dept, Management Coll, 238 Songling Rd, Qingdao 266100, Shandong, Peoples R China.

年份：2020

卷号：7

期号：7

起止页码：73-84

外文期刊名：JOURNAL OF ASIAN FINANCE ECONOMICS AND BUSINESS

收录：Scopus(收录号：2-s2.0-85091447788);WOS:【ESCI(收录号:WOS:000548482500007)】；

基金：We are grateful to the Editor in Chief for his time and many constructive comments that significantly improved the quality of this study. This study was funded by Management College, Ocean University of China.

语种：英文

外文关键词：Capital Structure; Adjustment Speed; Institutional Quality; Bayesian Information Criteria; Pakistan Stock Exchange

摘要：Existing studies disagree over the core predictors of firm-level financial choices in developing countries. The general practice only validates the traditional capital structure model, which leads to inconsistency and a lack of novelty. This study removed overfitting issues among existing factors and presented the most reliable and advanced capital structure model in Pakistani finns. The panel data include 368 Pakistani companies from 19 non-financial sectors over the period 2004 to 2017. We apply Akaike and Bayesian Information Criteria to remove overfitting issues among inconsistent proxies in the capital structure model. The fixed effects regression is used for basic results and the Generalized Method of Moments is applied to control the endogeneity. Besides the conventional proxies, we report that credit rating, distance from bankruptcy, managerial concentration, and institutional quality are the most advanced capital structure determinants in Pakistan. These predictors remain significant across firm size and growth levels. Also, the findings confirm that new predictors are reliable to define capital structure dynamics and improve the speed of adjustment in overall and sub-sample analysis. The major findings suggest that managers and policymakers should consider these advanced predictors to design their financial settings in firms.