Inflation and Capital Structure
AbstractThis essay is a contribution to the empirical literature on the effect of inflation tax on capital structure. A simple empirical model considering the main results of the current theoretical development is studied, using microdata from a number of American corporations.
Download InfoIf 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.
Bibliographic InfoPaper provided by EconWPA in its series Finance with number 0111001.
Length: 15 pages
Date of creation: 04 Nov 2001
Date of revision:
Note: Type of Document - Acrobat PDF; pages: 15
Contact details of provider:
Web page: http://126.96.36.199
inflation tax; capital structure; firm value; debt-capital ratio;
Other versions of this item:
- G3 - Financial Economics - - Corporate Finance and Governance
- G30 - Financial Economics - - Corporate Finance and Governance - - - General
- G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
This paper has been announced in the following NEP Reports:
- NEP-ACC-2001-11-05 (Accounting & Auditing)
- NEP-ALL-2001-11-05 (All new papers)
- NEP-MAC-2001-10-29 (Macroeconomics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Kelly, William A, Jr & Miles, James A, 1989. "Capital Structure Theory and the Fisher Effect," The Financial Review, Eastern Finance Association, vol. 24(1), pages 53-73, February.
- Miller, Merton H, 1977. "Debt and Taxes," Journal of Finance, American Finance Association, vol. 32(2), pages 261-75, May.
- Dokko, Yoon, 1989. "Are Changes in Inflation Expectations Capitalized into Stock Prices? A Micro-firm Test for the Nominal Contracting Hypothesis," The Review of Economics and Statistics, MIT Press, vol. 71(2), pages 309-17, May.
- Kim, Moon K & Wu, Chunchi, 1988. "Effects of Inflation on Capital Structure," The Financial Review, Eastern Finance Association, vol. 23(2), pages 183-200, May.
- DeAngelo, Harry & Masulis, Ronald W., 1980. "Optimal capital structure under corporate and personal taxation," Journal of Financial Economics, Elsevier, vol. 8(1), pages 3-29, March.
- Hodder, James E & Senbet, Lemma W, 1990. " International Capital Structure Equilibrium," Journal of Finance, American Finance Association, vol. 45(5), pages 1495-1516, December.
- Franks, Julian R & Schwartz, Eduardo S, 1991. "The Stochastic Behaviour of Market Variance Implied in the Prices of Index Options," Economic Journal, Royal Economic Society, vol. 101(409), pages 1460-75, November.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (EconWPA).
If references are entirely missing, you can add them using this form.