首页 | 本学科首页   官方微博 | 高级检索  
     检索      


Overconfidence and optimism: The effect of national culture on capital structure
Institution:1. Emeritus Professor of International Business and Finance, University of Akron, 7380 Sherman Rd, Chesterland, OH 44026, United States;2. College of Business Administration, University of Akron, Akron, OH 44325, United States;1. School of Business and Economics, Humboldt University of Berlin, Dorotheenstr. 1, 10099 Berlin, Germany;2. Price College of Business, University of Oklahoma, 307 West Brooks, Norman, OK 73019, USA;1. International School, East China Jiao Tong University, Nanchang 330013, Jiangxi, China;2. School of Management, Huazhong University of Science and Technology, Wuhan 430074, China;3. School of Public Administration, China University of Geosciences Wuhan, Wuhan 430074, China;1. Fengchia University, Taiwan;2. Department of Statistics, Tunghai University, Taiwan;3. National Chiao Tung University, Taiwan;4. Institute of Finance, National Chiao Tung University, Taiwan;1. School of Accounting and Finance, Hong Kong Polytechnic University, Hong Kong, China;2. Department of International Business, The Darla Moore School of Business, University of South Carolina, Columbia, SC 29208, United States;3. Department of Accountancy and Law, Hong Kong Baptist University, Hong Kong, China;1. Ecole Supérieure de Commerce, Université de Manouba, Tunisia;2. Ecole Supérieure de Commerce,Université de Manouba, Tunisia;3. Islamic Economics Institute, King Abdulaziz University, KSA
Abstract:This study assesses whether variations in capital structure across countries can be explained by cultural traits. We analyze capital structure choices of firms in 42 countries and provide evidence that these decisions are affected by the degree of individualism of the country where the firm is located. We assert that managers in countries with high level of individualism exhibit strong optimism and overconfidence which cause an upward bias in perception of supportable debt ratios. Our results are robust to controlling for other firm- and country specific determinants of capital structure choices and to using alternative model specifications and estimation techniques.
Keywords:Capital structure  Individualism  Behavioral bias  National culture
本文献已被 ScienceDirect 等数据库收录!
设为首页 | 免责声明 | 关于勤云 | 加入收藏

Copyright©北京勤云科技发展有限公司  京ICP备09084417号