Advanced Search
MyIDEAS: Login to save this paper or follow this series

The impact of corporate governance practices on dynamic adjustment of capital structure of companies in Ukraine


Author Info

  • Zheka Vitaliy



Managers are risk averse and less willing than risk neutral shareholders to take on debt. Therefore in firms with poor corporate governance practices, where manager’s preferences dominate shareholders’ objectives, we shall see less debt and slower rates of adjustment of the capital structure. A goal of the paper is to investigate the impact of corporate governance (shareholder rights, transparency and supervisory board arrangements) on the pace of capital structure adjustment. A dataset includes all open joint-stock companies in Ukraine for years 2000-2007. It is found that typical firm in Ukraine completed the required leverage adjustment in about two years. The paper documents evidence that firms that practice better corporate governance benefited from the improved liquidity in 2000-2007 the most as they adjusted their financial structures at higher rates. The coefficients for shareholder rights, supervisory board structure and supervisory board procedure are found to be significant. Transparency variable is not found to have significant impact on speed of adjustment.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL:
Download Restriction: no

Bibliographic Info

Paper provided by EERC Research Network, Russia and CIS in its series EERC Working Paper Series with number 10/07e.

as in new window
Date of creation: 06 Nov 2010
Date of revision:
Handle: RePEc:eer:wpalle:10/07e

Contact details of provider:
Postal: EERC Research Network, Russia and CIS, 1, Mazepy Str., suite 202, Kyiv, 01010 Ukraine
Phone: +38(044)492-8012
Fax: +1(202)478-1968
Web page:

Order Information:
Postal: EERC Research Network, Russia and CIS, 1, Mazepy Str., suite 202, Kyiv, 01010 Ukraine

Related research


Find related papers by JEL classification:


No references listed on IDEAS
You can help add them by filling out this form.



This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.


Access and download statistics


When requesting a correction, please mention this item's handle: RePEc:eer:wpalle:10/07e. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Anton Pashchenko).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.