Correlation-and-regression Analysis of the Influence of Macroeconomic Factors on Capital Structure of Russian Corporations Under Crisis Conditions
The study reveals the influence of macroeconomic factors on decisions about the optimal capital structure formation under financial globalization, in view of ever-changing factors of the external economic and geopolitical environment. The study is aimed at empirical testing of hypotheses on how the level of financial leverage of corporations depends on traditional determinants during and after the financial crisis under the emerging market conditions in Russia. The study deals with a large data set of 49 public joint stock companies from 7 leading Russian economic sectors for the period from 2011 to 2017. According to the correlation-and-regression analysis results, (1) the use of traditional theories of capital structure under the conditions of current financial globalization in a country with a developing economy proves to be ineffective for the optimal capital structure formation (2) the corporate capital structure formation is strongly influenced by macroeconomic factors, which is most evidently manifested during and after the crisis, (3) the financial crisis exerts a strong influence on the corporate capital structure, (4) the determinant of stock market development has a significant influence on leverage and plays a prominent role in making financial decisions after the financial crisis.
JEL classification: E22, E44, F6, F15
Posted 18 Dec, 2020
On 17 Jan, 2021
Received 09 Jan, 2021
Received 07 Jan, 2021
On 25 Dec, 2020
On 21 Dec, 2020
Invitations sent on 18 Dec, 2020
On 30 Nov, 2020
On 30 Nov, 2020
On 30 Nov, 2020
On 26 Oct, 2020
Received 03 Oct, 2020
On 08 Sep, 2020
Received 02 Aug, 2020
Invitations sent on 07 Jul, 2020
On 07 Jul, 2020
On 04 May, 2020
On 04 May, 2020
On 03 May, 2020
On 03 May, 2020
Correlation-and-regression Analysis of the Influence of Macroeconomic Factors on Capital Structure of Russian Corporations Under Crisis Conditions
Posted 18 Dec, 2020
On 17 Jan, 2021
Received 09 Jan, 2021
Received 07 Jan, 2021
On 25 Dec, 2020
On 21 Dec, 2020
Invitations sent on 18 Dec, 2020
On 30 Nov, 2020
On 30 Nov, 2020
On 30 Nov, 2020
On 26 Oct, 2020
Received 03 Oct, 2020
On 08 Sep, 2020
Received 02 Aug, 2020
Invitations sent on 07 Jul, 2020
On 07 Jul, 2020
On 04 May, 2020
On 04 May, 2020
On 03 May, 2020
On 03 May, 2020
The study reveals the influence of macroeconomic factors on decisions about the optimal capital structure formation under financial globalization, in view of ever-changing factors of the external economic and geopolitical environment. The study is aimed at empirical testing of hypotheses on how the level of financial leverage of corporations depends on traditional determinants during and after the financial crisis under the emerging market conditions in Russia. The study deals with a large data set of 49 public joint stock companies from 7 leading Russian economic sectors for the period from 2011 to 2017. According to the correlation-and-regression analysis results, (1) the use of traditional theories of capital structure under the conditions of current financial globalization in a country with a developing economy proves to be ineffective for the optimal capital structure formation (2) the corporate capital structure formation is strongly influenced by macroeconomic factors, which is most evidently manifested during and after the crisis, (3) the financial crisis exerts a strong influence on the corporate capital structure, (4) the determinant of stock market development has a significant influence on leverage and plays a prominent role in making financial decisions after the financial crisis.
JEL classification: E22, E44, F6, F15