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Come spiegare la struttura finanziaria delle imprese italiane? (How Do We Explain the Capital Structure of Italian Non-Financial Corporations?)
Politica Economica (1993)
  • Leo Bonato
  • Rony Hamaui
  • Marco Ratti
Abstract
This paper reviews the theory of capital structure and its empirical performance. In particular, we consider the following reserach strands: static trade-off between the tax advantage of debt and costs of bankruptcy, agency costs, asymmetric information models, models in which the capital structure ineracts with non-fiancial (esp. output--market) behavior.. The predictions offered by theoretical models are tested against the evidence, with special attention to that regarding the Italian economy, which is partly produced in the paper. In the course of this tour, we offer among other thingsan up-to-date discussion of the Italian tax system and a novel analysis of its unusual implications for the workings of the Miller equilibrium. We conclude that no single model can explain Italian capital structures, so an eclectic perspective needs to be taken. The evidence suggests that the most valuable explanations come from the "hierarchical" model and - to a lesser extent - from agency and tax considerations.
Disciplines
Publication Date
1993
Citation Information
Leo Bonato, Rony Hamaui and Marco Ratti. "Come spiegare la struttura finanziaria delle imprese italiane? (How Do We Explain the Capital Structure of Italian Non-Financial Corporations?)" Politica Economica Vol. 9 Iss. 1 (1993)
Available at: http://works.bepress.com/leo_bonato/7/