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Investment and Debt ratio of ICT firms

ICT 기업의 부채수준이 투자활동에 미치는 영향

  • Chon, Mi-Lim (Department of Accounting, Cheongju University)
  • Received : 2014.12.03
  • Accepted : 2015.02.20
  • Published : 2015.02.28

Abstract

This paper investigate the determinants of investment for a cross-section of firms in emerging market. I examine three factors expected to affect investment: debt ratio, growth rate, and industry. I find that debt ratio and ICT firms are positively associated with investment in emerging market. I also find that ICT firms with high debt ratio have higher net capital expenditures. While the growth rate is unrelated to net capital expenditures. Unlike the evidence from the developed markets, debt ratio has significant and positive impact on investment (net capital expenditures) in the emerging market.

Acknowledgement

Supported by : 청주대학교 경영경제연구소

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