자본구조 결정변수들의 지속성 효과

This paper investigates how the determinants of capital structure affect debt ratio persistently using non-financial firms listed in Korean Stock Market (KOSPI). The result of this paper is as follows: First, it finds that the persistent effect in long-term and short-term is weaker rather than the effect of trade-off and pecking order. Second, it provides that especially leverage deficit, leverage deficit dummy, and target leverage change as the variable of dynamic trade-off theory have much impact on change in capital structure relative to YT impact. Stock price change effect suggested by Welch (2004) also has much impact on change in capital structure and additionally it is revealed that profitability and financial deficit effect have a substantial influence on changes in capital structure when comparing to YT impact. Third, consistent with Kayhan & Titman(2007), but contrast to previous conclusions, this paper shows that their effects which are YT, stock price change and profitability are partially reversed over long horizons. In addition, these results suggest that although the variables of trade-off and pecking order theory strongly influence their capital structure, over time their capital structures also tend to move towards target debt ratios, implying consistent with the trade-off theories of capital structure. Finally, the speed of adjustment for moving towards target debt ratio is slow in contrast to previous results. As matter of fact, we conclude that the persistent of market timing effect seems to be exaggerated in comparing prior results.