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Determinants of the duration of the voluntary administration process: An unconditional quantile regression analysis

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  • Goodwin, John
  • Routledge, James

Abstract

This study explores determinants of voluntary administration (VA) and deed of company arrangement (DOCA) durations using unconditional quantile regression (UQR). Determinants’ effects are heterogeneous across the VA and DOCA distributions. Determinants related to complexity and negotiation, including size and debt restructuring existence, are positively and negatively related respectively to VA duration, and are stronger at longer durations. Insolvency firm expertise is negatively related to VA duration at shorter durations. Determinants related to scale and procedure, including size and accounting problems, are positively related to DOCA duration, and are stronger at longer durations. No determinants explain short DOCA durations. The UQR results uncovered other new empirical regularities.

Suggested Citation

  • Goodwin, John & Routledge, James, 2021. "Determinants of the duration of the voluntary administration process: An unconditional quantile regression analysis," Journal of Contemporary Accounting and Economics, Elsevier, vol. 17(3).
    • Handle: RePEc:eee:jocaae:v:17:y:2021:i:3:s1815566921000345
    DOI: 10.1016/j.jcae.2021.100276
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    More about this item

    Keywords

    Insolvency; Duration determinants; Unconditional quantile regression;
    All these keywords.

    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • G33 - Financial Economics - - Corporate Finance and Governance - - - Bankruptcy; Liquidation

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