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Do the relationship paths between capital structure and investment efficiency depend on information asymmetry? A comparison between emerging and developed countries
Beedie School of Business, Simon Fraser University, Burnaby, British Columbia, Canada.
Accounting and Finance Department, Faculty of Economics and Management, Urmia University, Urmia, Iran.
University of Gävle, Faculty of Education and Business Studies, Department of Business and Economic Studies, Business administration.ORCID iD: 0000-0002-2536-0446
Accounting and Finance Department, Faculty of Economics and Management, Urmia University, Urmia, Iran.
2024 (English)In: Venture Capital: an International Journal of Entrepreneurial Finance, ISSN 1369-1066, E-ISSN 1464-5343Article in journal (Refereed) Epub ahead of print
Abstract [en]

This paper aims to analyze the moderating role of debt maturity and the mediating role of information asymmetry in the relationship between financial leverage and investment efficiency and to compare the results between firms domiciled in emerging and those headquartered in developed countries. Using two proxies for investment efficiency, the results showed that debt maturity moderates the association between financial leverage and investment efficiency at both levels of developed and emerging countries. This paper also confirmed that information asymmetry carries the influence of financial leverage to investment efficiency only for those enterprises headquartered in emerging countries.

Place, publisher, year, edition, pages
Taylor & Francis , 2024.
Keywords [en]
Short-term and long-term debt, investment efficiency, information asymmetry
National Category
Economics and Business
Identifiers
URN: urn:nbn:se:hig:diva-44095DOI: 10.1080/13691066.2024.2341623ISI: 001203560200001Scopus ID: 2-s2.0-85191019301OAI: oai:DiVA.org:hig-44095DiVA, id: diva2:1853210
Available from: 2024-04-22 Created: 2024-04-22 Last updated: 2024-12-17Bibliographically approved

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Homayoun, Saeid

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