We use agency theory to investigate the influence of CEO dominance on variation in capital structure. Due to agency conflicts, managers may not always adopt leverage choices that maximize shareholders’ value. Consistent with the prediction of agency theory, the evidence reveals that, when the...

We use agency theory to investigate the influence of CEO dominance on variation in capital structure. Due to agency conflicts, managers may not always adopt leverage choices that maximize shareholders' value. Consistent with the prediction of agency theory, the evidence reveals that, when the...

We examine how changes in property rights security impact firm capital structure decisions by exploiting a natural experiment, the enactment of China's Property Rights Law in 2007 (the Law). Using a large dataset of non-listed firms, we document a significant overall decrease in leverage after...