Semantic Scholar Open Access 1995 1401 sitasi

Leverage, Investment, and Firm Growth

Larry H. P. Lang E. Ofek R. Stulz R. Stulz

Lihat Sumber DOI

Abstrak

We show that there is a negative relation between leverage and future growth at the firm level and, for diversified firms, at the segment level. Further, this negative relation between leverage and growth holds for firms with low Tobin's q, but not for high-q firms or firms in high-q industries. Therefore, leverage does not reduce growth for firms known to have good investment opportunities, but is negatively related to growth for firms whose growth opportunities are either not recognized by the capital markets or are not sufficiently valuable to overcome the effects of their debt overhang.

Topik & Kata Kunci

Business

Penulis (4)

Larry H. P. Lang

E. Ofek

R. Stulz

Format Sitasi

APA MLA BibTeX

Lang, L.H.P., Ofek, E., Stulz, R., Stulz, R. (1995). Leverage, Investment, and Firm Growth. https://doi.org/10.1016/0304-405X(95)00842-3

Akses Cepat

Lihat di Sumber doi.org/10.1016/0304-405X(95)00842-3

Informasi Jurnal

Tahun Terbit: 1995
Bahasa: en
Total Sitasi: 1401×
Sumber Database: Semantic Scholar
DOI: 10.1016/0304-405X(95)00842-3
Akses: Open Access ✓