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Regulatory Independence and Political Interference: Evidence from EU Mixed-Ownership Utilities’ Investment and Debt AgEcon
Cambini, Carlo; Rondi, Laura.
This paper examines the investment and financial decisions of a sample of 92 EU regulated utilities, taking into account key institutional features of EU public utilities, such as: a) regulation by agencies with various degrees of independence; b) partial ownership of the state in the regulated firm; and c) the government’s political orientation, which may ultimately influence the regulatory climate to be either more pro-firm or more pro-consumers. Our results show that regulatory independence matters for both investment and financial decisions. Investment increases under an Independent Regulatory Agency (IRA), while ownership has no effect. Leverage also increases when the IRA is in place, especially so if the regulated firm is privately controlled....
Tipo: Working or Discussion Paper Palavras-chave: Regulated Utilities; Investment; Capital Structure; Private and State Ownership; Regulatory Independence; Government’s Political Orientation; Financial Economics; G31; G32; L33; L51; L90.
Ano: 2010 URL: http://purl.umn.edu/91002
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Farm Capital Structure Choice under Credit Constraint: Theory and Application AgEcon
Wu, Feng; Guan, Zhengfei.
This study proposed a theoretical framework for analyzing farm capital structure choice. The theoretical model recognizes that the costs of debt are endogenously determined which in turn reflect the degree of credit constraint faced by individual borrowers. Based on the proposed model, we derived the impacts of different determinants on capital structure choice analytically. The theoretical inferences are further tested with empirical data. Methodologically, we proposed a fixed-effect quantile regression procedure to estimate the impacts of determinants at different ranges of leverage. The effects of determinants are discussed in the empirical application.
Tipo: Conference Paper or Presentation Palavras-chave: Capital Structure; Cost of Debt; Credit Constraint; Quantile Regression; Agricultural Finance.
Ano: 2008 URL: http://purl.umn.edu/6130
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The Structure Model Based Determinants of Capital Structure: A Seemingly Unrelated Regression Model AgEcon
Yan, Yan; Shi, Xiangdong; Barry, Peter J.; Paulson, Nicholas D.; Sherrick, Bruce J..
This study proposed a seemingly unrelated regression model to investigate the predicting capability of the structure model and test the capital structure theories. The model considered dynamic property of the structure model and characteristics of farm records. FBFM data are used in empirical analysis. The regression results provide new supportive evidence on capital theories.
Tipo: Conference Paper or Presentation Palavras-chave: Structure Model; Capital Structure; Seemingly Unrelated Regression; Research Methods/ Statistical Methods.
Ano: 2008 URL: http://purl.umn.edu/6171
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