Why Us? >>

  • - Open Access
  • - Peer-reviewed
  • - Rapid publication
  • - Lifetime hosting
  • - Free indexing service
  • - Free promotion service
  • - More citations
  • - Search engine friendly

Free SCIRP Newsletters>>

Add your e-mail address to receive free newsletters from SCIRP.


Contact Us >>

WhatsApp  +86 18163351462(WhatsApp)
Paper Publishing WeChat
Book Publishing WeChat
(or Email:book@scirp.org)

Article citations


Graham, J.R. and Harvey, C.R. (2001) The Theory and Practive of Corporate Finance: Evidence from the Field. Journal of Financial Economics, 60, 187-243.

has been cited by the following article:

  • TITLE: The Recognition of Capital Structure Peer Effect of Chinese Listed Companies

    AUTHORS: Yongjia Liang

    KEYWORDS: Peer Effect, Capital Structure, Equity Shock

    JOURNAL NAME: American Journal of Industrial and Business Management, Vol.6 No.6, June 15, 2016

    ABSTRACT: The capital structure of listed companies is significantly affected by that of peer companies in the same industry. This phenomenon is called the peer effect of capital structure. This paper studies the peer effect of capital structures of listed companies in the same industry in the Chinese A-share market. Unlike previous literatures simply using the average industry capital structure as the explanatory variable, by constructing the instrumental variable (equity shock), this paper successfully and accurately identifies the peer effect. Through the empirical analysis, this paper has found the following conclusions: 1. The peer effect’s ability to explain the capital structure of the company itself is more important than the common capital structure influence factors in the previous literatures; 2. Peer firms play an important role for the company’s own capital structure. Specifically, the company’s own capital structure will respond to the capital structures of peer firms, rather than other financial characteristics of peer firms. The conclusion of this paper has certain enlightenment significance on the capital structure theory and capital decision-making behaviors of Chinese listed companies. The capital structure of listed companies in China is not independently decided by the company managers, but in the process of decision-making the capital structures of peer firms is considered as the important reference factor. This will provide a new angle for the research on capital structure. The strong correlation among capital decision-making of peer firms will be considered.