Risks of International Activities and Corporate Financing - A Review and Suggestions
23 Pages Posted: 9 Mar 2007
Date Written: January 11, 2007
Abstract
This paper reviews the status quo of empirical literature at the junction of risks related to international activities and capital structure theory. A classification scheme for different types of risks is proposed that is used as a framework for re-interpreting empirical results published so far. Results on the meta-level are mostly ambiguous indicating that the research agenda is still open and shifting towards questions neglected in former studies. Main coverage in future analyses, despite methodological issues and selection of proxies, should be shifted towards factors driving the decision for or against natural hedges to be able to control for conflicting results.
Keywords: Multinational Firms, International Business, Financing Policy, Capital Structure, Risk Management
JEL Classification: F23, G32
Suggested Citation: Suggested Citation
Do you have a job opening that you would like to promote on SSRN?
Recommended Papers
-
Founding Family Ownership and the Agency Cost of Debt
By Ronald C. Anderson, Sattar Mansi, ...
-
Does Auditor Quality and Tenure Matter to Investors? Evidence from the Bond Market
By Sattar Mansi, William F. Maxwell, ...
-
What is Different About Family Businesses?
By Ralph Chami
-
By David M. Reeb, Sattar Mansi, ...
-
Ownership Concentration, Monitoring, and the Agency Cost of Debt
By Holger M. Mueller and Roman Inderst
-
Evidence that Differences in Bankruptcy Law Among Countries Affect Equity Returns
-
Corporate International Activity and Debt Financing
By Sattar Mansi and David M. Reeb
-
The Impact of Family Control of Firms on Leverage: Australian Evidence
By Harijono Harijono, Mohammed Ariff, ...
-
Return Differences between Family and Non-Family Firms: Absolute and Index Differences
By Carol Padgett and Suranjita Mukherjee