IDEAS home Printed from https://ideas.repec.org/a/mth/ber888/v11y2021i3p19-34.html
   My bibliography  Save this article

Contraction of Capital Investment in Retail Trade Sub-Sector Companies on the Indonesia Stock Exchange

Author

Listed:
  • Andy -
  • S. H. Hengky

Abstract

This study aims to compare the investment contraction in the retail trade sub-sector on the Indonesia Stock Exchange (IDX). This study examines the effect of profitability as measured by ROE on capital structure as measured by DER in sub-sector companies in IDX during 2016-2020. This type of research uses verification research with explanatory survey method and sample method of a purposive-sampling in which there are 18 samples of retail company sub-sectors. Methods of data analysis using panel data regression with the results- Profitability has a negative and significant effect on capital structure.

Suggested Citation

  • Andy - & S. H. Hengky, 2021. "Contraction of Capital Investment in Retail Trade Sub-Sector Companies on the Indonesia Stock Exchange," Business and Economic Research, Macrothink Institute, vol. 11(3), pages 19-34, December.
  • Handle: RePEc:mth:ber888:v:11:y:2021:i:3:p:19-34
    as

    Download full text from publisher

    File URL: https://www.macrothink.org/journal/index.php/ber/article/download/18734/14520
    Download Restriction: no

    File URL: https://www.macrothink.org/journal/index.php/ber/article/view/18734
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Hui Chen & Yu Xu & Jun Yang, 2012. "Systematic Risk, Debt Maturity, and the Term Structure of Credit Spreads," NBER Working Papers 18367, National Bureau of Economic Research, Inc.
    2. Sony, Bipin & Bhaduri, Saumitra, 2021. "Information asymmetry and financing choice between debt, equity and dual issues by Indian firms," International Review of Economics & Finance, Elsevier, vol. 72(C), pages 90-101.
    3. Saurabh Chadha & Himanshu Seth, 2021. "Ownership structure and capital structure: a panel data study," International Journal of Business Innovation and Research, Inderscience Enterprises Ltd, vol. 24(3), pages 385-396.
    4. Chen, Hui & Xu, Yu & Yang, Jun, 2021. "Systematic risk, debt maturity, and the term structure of credit spreads," Journal of Financial Economics, Elsevier, vol. 139(3), pages 770-799.
    5. Robin C. Sickles & William C. Horrace (ed.), 2014. "Festschrift in Honor of Peter Schmidt," Springer Books, Springer, edition 127, number 978-1-4899-8008-3, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cortina, Juan J. & Didier, Tatiana & Schmukler, Sergio L., 2021. "Global corporate debt during crises: Implications of switching borrowing across markets," Journal of International Economics, Elsevier, vol. 131(C).
    2. Villanthenkodath, Muhammed Ashiq & Mahalik, Mantu Kumar, 2021. "Does economic growth respond to electricity consumption asymmetrically in Bangladesh? The implication for environmental sustainability," Energy, Elsevier, vol. 233(C).
    3. Shahbaz, Muhammad & Hoang, Thi Hong Van & Mahalik, Mantu Kumar & Roubaud, David, 2017. "Energy consumption, financial development and economic growth in India: New evidence from a nonlinear and asymmetric analysis," Energy Economics, Elsevier, vol. 63(C), pages 199-212.
    4. Salisu, Afees A. & Adekunle, Wasiu & Alimi, Wasiu A. & Emmanuel, Zachariah, 2019. "Predicting exchange rate with commodity prices: New evidence from Westerlund and Narayan (2015) estimator with structural breaks and asymmetries," Resources Policy, Elsevier, vol. 62(C), pages 33-56.
    5. Anders, Sven & Fedoseeva, Svetlana, 2017. "Quality, Sourcing, and Asymmetric Exchange-Rate Pass-Through into U.S. Coffee Imports," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 42(3), September.
    6. Amine Lahiani & Sinha Avik & Muhammad Shahbaz, 2018. "Renewable energy consumption, income, CO2 emissions and oil prices in G7 countries: The importance of asymmetries," Post-Print hal-03677233, HAL.
    7. Ajayi, Patricia & Ogunrinola, Adedeji, 2020. "Growth, Trade Openness and Environmental Degradation in Nigeria," MPRA Paper 100713, University Library of Munich, Germany.
    8. Bernhard Dalheimer & Christoph Kubitza & Bernhard Brümmer, 2022. "Technical efficiency and farmland expansion: Evidence from oil palm smallholders in Indonesia," American Journal of Agricultural Economics, John Wiley & Sons, vol. 104(4), pages 1364-1387, August.
    9. Abbas, Shujaat, 2020. "Impact of oil prices on remittances to Pakistan from GCC countries: evidence from panel asymmetric analysis," MPRA Paper 107246, University Library of Munich, Germany.
    10. Ansgar Walther, 2016. "Jointly Optimal Regulation of Bank Capital and Liquidity," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 48(2-3), pages 415-448, March.
    11. Ingrid Groessl & Artur Tarassow, 2015. "A Microfounded Model of Money Demand Under Uncertainty, and some Empirical Evidence," Macroeconomics and Finance Series 201504, University of Hamburg, Department of Socioeconomics, revised Jan 2018.
    12. Jaka Sriyana, 2019. "Dynamic Effects of Energy Consumption on Economic Growth in an Emerging Economy," International Journal of Energy Economics and Policy, Econjournals, vol. 9(4), pages 283-290.
    13. Mahmood, Haider & Alkhateeb, Tarek Tawfik Yousef & Ahmed, Nawaz, 2017. "Impact of devaluation on Saudi oil exports: The J-Curve analysis," MPRA Paper 109454, University Library of Munich, Germany.
    14. Galya Taseva, 2020. "Determinants of Short-term Liabilities of Financially Distressed SME-s," Business Management, D. A. Tsenov Academy of Economics, Svishtov, Bulgaria, issue 1 Year 20, pages 5-24.
    15. Thi-Ngoc Anh NGUYEN & SATO Kiyotaka, 2018. "Firm Predicted Exchange Rates and Nonlinearities in Pricing-to-Market," Discussion papers 18071, Research Institute of Economy, Trade and Industry (RIETI).
    16. Sakiru Adebola Solarin, 2018. "Convergence hypothesis in tourism markets and activities in Taiwan," Tourism Economics, , vol. 24(8), pages 1037-1044, December.
    17. Quynh Chau Pham Holland & Benjamin Liu & Eduardo Roca, 2019. "International funding cost and heterogeneous mortgage interest-rate pass-through: a bank-level analysis," Empirical Economics, Springer, vol. 57(4), pages 1255-1289, October.
    18. Bruche, Max & Segura, Anatoli, 2017. "Debt maturity and the liquidity of secondary debt markets," Journal of Financial Economics, Elsevier, vol. 124(3), pages 599-613.
    19. Daniel L. Millimet & Christopher F. Parmeter, 2022. "COVID‐19 severity: A new approach to quantifying global cases and deaths," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 185(3), pages 1178-1215, July.
    20. Yu-Hu LIN & Wen-Yi CHEN, 2018. "On the Relationship between Business Cycle and Fertility Rate in Taiwan: Evidence from the Nonlinear Cointegration Methodology," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(1), pages 140-156, December.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mth:ber888:v:11:y:2021:i:3:p:19-34. 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: . General contact details of provider: http://www.macrothink.org/journal/index.php/ber .

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Technical Support Office The email address of this maintainer does not seem to be valid anymore. Please ask Technical Support Office to update the entry or send us the correct address (email available below). General contact details of provider: http://www.macrothink.org/journal/index.php/ber .

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.