• The Korean Journal of Financial Studies
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• v.12 no.1
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• pp.89-104
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• 2006

이 논문은 자본조달순위이론(pecking order theory)을 한국 유가증권시장에 상장된 제조기업을 대상으로 실증적 검정을 하였다. 설명변수로 기업의 자금부족(deficit)과 부채비율과의 관계를 분석한 결과 자본조달순위이론이 지지되는 결과를 얻지 못하였으며, 통제변수에 유형자산, 기업규모, 수익성 등 전통적인 자본구조영향요인 변수들을 포함시켜 분석한 결과, 정보비대칭이론에 의한 설명이 적합한 것으로 해석되었다. 유형자산이 증가할수록 부채비율은 감소하였고, 기업규모가 증가하면 레버리지가 감소하는 관계를 나타냈으며, 수익성이 증가함에 따라 부채비율이 감소하는 것으로 분석되었다. 직전년도의 부채규모가 높은 경우에는 당해 연도의 부채사용이 감소하고, 직전년도의 레버리지가 낮은 경우에는 당해 연도의 부채가 증가하는 평균회귀현상을 나타냈다.

• Korea Journal of Hospital Management
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• v.13 no.3
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• pp.1-16
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• 2008

According to Myers (1984) and Myers and Majluf(1984), there exists a financial hierarchy from internal to external financing, from long-tenn debt to equity, due to information costs. The purpose of this study is to assess the profit-making corporation of healthcare institutions. Data was collected from 130 hospital presidents and financial managers. We analysed the frequency and one way ANOVA by SPSS Windows 14.0K. The major findings of the study were as follows: We found that the priorities which a healthcare institutions financing were internal financial, other allowance, a credit loan, a security loan, and a lease through this study. The priorities which a healthcare institutions raised the capital differed as to the number of beds and revenues. The priorities were no difference from ownership, location and an annual business.

• The Korean Journal of Financial Management
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• v.23 no.2
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• pp.109-141
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• 2006

The central factor in the pecking order theory of financial structure is the asymmetric distribution of information between managers and less-informed outside investors. Myers and Majluf (1984) show that this asymmetry leads managers to prefer internal funds to external funds. Funds are raised through equity issues only after the capacity to issue debt has been exhausted. In contrast, according to static tradeoff theory, an optimum financial structure exists by the tradeoff between tax saving by debt and bankruptcy costs. This study examines the recent changes of Korean firms' financial structure and financing behavior and the determinants of financial structure. The sample of firms comes from the period of $1996{\sim}2004$, and the number of firms is 32,003. The major findings are as follows. First, in contrast with previous studies using US firms as sample, Korean firms have been using debt financing as their major financing instrument. Especially, the firms in the fund deficit situation relies much more on $long{\sim}term$ and $short{\sim}term$ debts rather than on equity issues. Second, as is the case with previous studies using US firms sample indicates, the financing deficit variable can not explain perfectly the net debt issue. However, compared with net equity issue variable, net debt issue variable is more closely related to the financing deficit variable. Third, when financing deficit variable is added to the current list of explanatory variables of financial structure determinants model, it has a significant and positive explanatory power. In addition, the coefficients of determinants are much improved. Thus, it is concluded that although pecking order theory is not perfect, it appears to be more useful compared to static tradeoff theory, at least in explaining the recent financing behavior of Korean manufacturing firms.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.4
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• pp.263-276
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• 2021

This study examines the effect of international capital flows on corporate capital structures in Vietnam by analyzing panel data from all non-financial listed firms from 2005 to 2014 using pooled ordinary least square (OLS) with a variance estimator. The analysis includes a comparison of the signs and significance of the variable coefficients from the perking order and static trade-off theories to the empirical results to determine the optimum approach to the corporate capital structure given Vietnam's high-inflation environment. The results indicate that international capital flows have a positive relation to the debt ratio in the long term, and the relationship is more robust for 2005-2009 than for 2010-2014. Corporate capital structures adjusted to changes in the business environment in different sub-periods (2005-2009 and 2010-2014). When the economic environment became more favorable, the pecking order theory's predictive power increased, and that of trade-off theory lessened. Manufacturing and non-manufacturing firms required different capital structure decisions to fuel their operations and grow under foreign competition. The analysis demonstrates that firms should intensify their use of long-term debt relative to the availability of capital, which is an implication not only for firms in particular but also for industrial innovation overall.

• Asian-Australasian Journal of Animal Sciences
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• v.27 no.7
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• pp.1044-1049
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• 2014

This study was conducted in order to investigate whether the presence of light or different colors of light would influence the energy expenditure and behavior of broiler chickens. Eight 8-week-old broiler chickens were adapted to a respiration chamber (Length, 28.5 cm; Height, 38.5 cm; Width, 44.0 cm) for one week prior to the initiation of the experiment. In experiment 1, energy expenditure and behavior of the chickens were analyzed in the presence or absence of light for four days. Chickens were exposed to 6 cycles of 2 h light/2 h dark period per day. In experiment 2, the broiler chickens that had been used in experiment 1 were used to evaluate the effect of 4 different wavelength light-emitting diodes (LEDs) on the energy expenditure and behavior of broiler chickens. The LEDs used in this study had the following wavelength bands; white (control), red (618 to 635 nm), green (515 to 530 nm) and blue (450 to 470 nm). The chickens were randomly exposed to a 2-h LED light in a random and sequential order per day for 3 days. Oxygen consumption and carbon dioxide production of the chickens were recorded using an open-circuit calorimeter system, and energy expenditure was calculated based on the collected data. The behavior of the chickens was analyzed based on following categories i.e., resting, standing, and pecking, and closed-circuit television was used to record these behavioral postures. The analysis of data from experiment 1 showed that the energy expenditure was higher (p<0.001) in chickens under light condition compared with those under dark condition. The chickens spent more time with pecking during a light period, but they frequently exhibited resting during a dark period. Experiment 2 showed that there was no significant difference in terms of energy expenditure and behavior based on the color of light (white, red, green, and blue) to which the chickens were exposed. In conclusion, the energy expenditure and behavior of broiler chickens were found to be strongly affected by the presence of light. On the other hand, there was no discernible difference in their energy expenditure and behavior of broiler chickens exposed to the different LED lights.

• The Korean Journal of Financial Management
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• v.24 no.1
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• pp.109-147
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• 2007

According to the perspective of capital structure theory, we analyzed the dynamism of the capital structure determinants by using panel data of 244 KOSDAQ firms based on two-step GMM system methodology suggested by Blundell Bond(1998). This dynamic methodology had not been used to analyse capital structure determinants in Korea. In the dynamic model of capital structure, profit had negative effect on the book leverage and market leverage, which meant supporting pecking order theory. Growth opportunity (MBR) affected negatively to the market leverage. For the determinants of leverage, earnings volatility had significantly positive effect on KOSDAQ 50 firms. KOSDAQ and KOSDAQ 50 firms had the target leverage. The adjustment speed in KOSDAQ firms was 0.4958 on the book leverage, it was faster than in KOSDAQ 50 firm's 0.2863 on the book leverage and the adjustment speeds for the market leverage were 0.7651 for KOSDAQ firms and 0.5643 for KOSDAQ 50 firms. There was difference in adjustment cost between KOSDAQ firms and KOSDAQ 50 firms.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.18 no.6
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• pp.110-118
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• 2017

This study investigated empirically one of the controversial subjects in modern finance, in that there is an optimal level of capital structure for KOSPI-listed firms in the Korean capital market. Given the major theories on the capital structure, such as Myers' pecking order, trade-off, and agency cost ones, this study applied an analysis of covariance models in parametric and non-parametric statistical methods. In particular, two covariates to control for the possible effects of trade-off and agency cost, were employed separately in each corresponding model, while the other proxy for pecking order rationale was adopted in previous research [1] to conduct inter- and intra-industry analyses. Based on the outcomes obtained from the study, it was demonstrated empirically that there are optimal capital structures for firms in the sample industries at the inter-industry level, whereas statistical differences indicating non-existence of an optimal point, were revealed within the industry. Accordingly, these findings suggest a new vision to potential investors that firms in the domestic market may have financial opportunities to increase their value by gradually adjusting the leverage ratios in terms of the intra-industry perspective.

• The Korean Journal of Financial Management
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• v.25 no.3
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• pp.1-32
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• 2008

This study examines the changes and determinants of cash to assets ratios(cash ratios) by analyzing 14,016 Korean manufacturing firms sample for the period of $1999{\sim}2004$. The major findings can be summarized as follows. First, the average cash ratios for Korean manufacturing firms have increased from 4.7 percent of 1999 to 5.2 percent of 2004. In addition, the average cash holdings per firm also have increased from 4.3 billion Won to 8.0 billion Won during the same period. However, the capital expenditures relative to cash ratios or operating cash flow have decreased significantly, confirming the notion that physical investment of Korean manufacturing sector has been shrinking recently. Second, in regression tests with panel data, the coefficients of target adjustment variables show the expected negative signs, but coefficients of the deficit of fund variables show the unexpected positive signs. Thus, the evidence seems to be supportive of static tradeoff model of cash holdings. Third, in regression tests to find the determinants of cash ratios, most of the variables show similar results as the previous studies. However, in terms of adjusted coefficient of determination and F-statistic, the firm-characteristic variables suggested by static trade-off theory have more explanatory power than the variables suggested by pecking order theory.

• Journal of Navigation and Port Research
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• v.43 no.4
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• pp.264-272
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• 2019

In this study, the rate of return on investment used as a proxy variable for the entity's value and financial structure (liability ratio) is related to positive balance. This is consistent with the Static Tradeoff Theory (STT) that the entity's value and financial structure are related to a positive balance because the capital expense of a debt (tax-saving effects) that is less than its equity cost before it is in financial difficulty. Also, operating profitability (EBITDA/Sales), investment safety, total asset growth, net working capital and depreciation expenses are related to negative (-) with financial structure (liability ratio). This is the result of an analysis consistent with the Pecking Order Theory (POT). Fuel costs, borrowing, total asset turnover, financial costs, and tangible asset ratios have a significant positive relationship with the debt ratio. This is consistent with the agency theory and confirms that excessive chartering expenses, such as the bankrupt H company, are the main factors that pressure the financial structure of Korean ocean carriers.

• The Journal of the Korea Contents Association
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• v.21 no.10
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• pp.368-377
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• 2021

This study analyzed the determinants of capital structure based on the financial statements of agricultural corporations disclosed on the DART(data analysis, retrieval and transfer system) of the Financial Supervisory Service since 2011, when the Korea international financial reporting standards (K-IFRS) was introduced. There have been many empirical studies on the capital structure so far, but there are no studies targeting agricultural corporations. The sample period of agricultural corporations was from 2015 to 2019, with the debt ratio as the dependent variable, and among the variables suggested as meaningful in existing empirical studies, ROA(profitability), SIZE(corporate size), LIQ(liquidity), TA(tangible asset ratio), FA(fixed long-term suitability ratio), and GROWTH(growth potential) were selected as independent variables and panel data analysis was performed. As a result of the analysis, it was found that the debt ratio decreased as the ROA and SIZE of agricultural corporations increased. This can be interpreted as supporting the pecking order theory rather than the static trade-off theory in the relationship between the ROA and SIZE of Korean agricultural corporations with the capital structure. In addition, it was found that the debt ratio increased as the FA increased. These results suggest that Korean agricultural corporations need to establish a financing policy in consideration of ROA, SIZE, and FA.