Drobetz, Wolfgang; Pensa, Pascal; Wanzenried, Gabrielle - Wirtschaftswissenschaftliches Zentrum, Universität Basel - 2007
We use a dynamic framework and panel methodology to investigate thedeterminants of a firms’ time-varying capital structure. Our sample comprises706 European firms from France, Germany, Italy and the U.K. overthe period from 1983 to 2002. If capital structure adjustment is costly, firmsmay...