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The Relationship Between Investment and Fund Raising: An Empirical study to Japanese Manufacturing Firms

Author

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  • Hongfei Zhu

    (Graduate School of Economics, Nagoya University)

Abstract

This paper applies Within3SLS to estimate simultaneous equations for panel data of Japanese manufacturing firms to investigate the relationship between investment and fund raising. A negative interrelationship between current leverage and investment is detected.

Suggested Citation

  • Hongfei Zhu, 2009. "The Relationship Between Investment and Fund Raising: An Empirical study to Japanese Manufacturing Firms," Economics Bulletin, AccessEcon, vol. 29(1), pages 357-367.
    • Handle: RePEc:ebl:ecbull:eb-08c30091
    as

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    References listed on IDEAS

    as
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    6. Abimbola Adedeji, 1998. "Does the Pecking Order Hypothesis Explain the Dividend Payout Ratios of Firms in the UK?," Journal of Business Finance & Accounting, Wiley Blackwell, vol. 25(9‐10), pages 1127-1155, November.
    7. Hosono, Kaoru, 2003. "Growth opportunities, collateral and debt structure: the case of the Japanese machine manufacturing firms," Japan and the World Economy, Elsevier, vol. 15(3), pages 275-297, August.
    8. Abimbola Adedeji, 1998. "Does the Pecking Order Hypothesis Explain the Dividend Payout Ratios of Firms in the UK?," Journal of Business Finance & Accounting, Wiley Blackwell, vol. 25(9-10), pages 1127-1155.
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    More about this item

    JEL classification:

    • L0 - Industrial Organization - - General
    • G3 - Financial Economics - - Corporate Finance and Governance

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