publication . Article . 2013

Information Asymmetry and Financing Decisions: Evidence from Iran Stock Exchange

Mehdi Elhaei Sahar; Seyed Ali Vaez;
Open Access
  • Published: 27 Jun 2013 Journal: International Journal of Academic Research in Accounting, Finance and Management Sciences, volume 3 (eissn: 2225-8329, Copyright policy)
  • Publisher: Human Resources Management Academic Research Society (HRMARS)
Abstract
This study aims to investigate the relations of information asymmetry and financing decisions in Tehran Stock Exchange (TSE) during 2009 to 2011. Our statistical simple consist 170 firms and stepwise regression method has been used. We found that the relationship between information asymmetry and stock issuing is negative. Other results refer to positive relation between financing deficit and stock issuing.
Subjects
free text keywords: Information Asymmetry, Pecking Order Theory, Capital Structure Tehran Stock Exchange (TSE), Finance, business.industry, business, Stock exchange, Job performance, Job attitude, Pecking order theory, Information asymmetry, Stepwise regression

1. Akerlof, G., Spence, M. and Stiglitz J. (1970). Market with asymmetric information. http://www.Nobelprize.org/economist.

2. Ben Ali, Chiraz, (2009). “Disclosure Quality and Corporate Governance in a Context of Minori ty Expropriation”. Available at SSRN: http:/ /ssrn. com/ abstract= 1406149.

3. Berkovitch E., and E.H. Kim (1990), "Financial Contracting and Leverage Induced Over-and-UnderInvestment Incentives", Journal of Finance, 45 (3). [OpenAIRE]

4. Bradley M., G.A. Jarrell, and E.H. Kim (1984), "On the Existence of an Optimal Capital Structure: Theory and Evidence", Journal of Finance, 39 (3). [OpenAIRE]

5. Brennan M.J., and E.S. Schwartz (1984), "Optimal Financial Policy and Firm valuation", Journal of Finance, 39 (3). [OpenAIRE]

6. Brounen D., A. de Jong and K. Koedijk (2006), "Capital Structure Policies in Europe: Survey Evidence", Journal of Banking & Finance, 30 (5).

7. Butters J.K. (1949), "Federal Income Taxation and External vs. Internal Financing", Journal of Finance, 4 (3).

8. Cadsby C.B., M.Z. Frank, and V. Maksimovic(1990), "Pooling, Separating, and Semi Separating Equilibria in Financial Markets: Some Experimental Evidence", Review of Financial Studies, 3 (3). [OpenAIRE]

9. Cai, Jie and Liu, Yixin and Qian, Yiming (2008), “Information Asymmetry and Corporate Governance”, available at: http://ssrn.com.

10. Chirinko, R., and A. Singha (2000), 'Testing Static Trade off against Pecking Order Models of Capital Structure: A Critical Comment', Journal of Financial Economics, 58, 417-27. [OpenAIRE]

11. DeAngelo H., and L. DeAngelo (2006), "Capital Structure, Payout Policy, and Financial Flexibility", Working Paper No. FBE 02-06, Marshall School of Business, University of Southern California. Available at SSRN: http://ssrn.com.

12. Fama E.F., and K.R. French (1998), "Taxes, Financing Decisions, and Firm Value", Journal of Finance, [OpenAIRE]

13. Fama, E. F., and K. R. French (2005), 'Financing Decisions: Who Issues Stock?', Journal of Financial Economics, 76, 549-82.

Powered by OpenAIRE Open Research Graph
Any information missing or wrong?Report an Issue
publication . Article . 2013

Information Asymmetry and Financing Decisions: Evidence from Iran Stock Exchange

Mehdi Elhaei Sahar; Seyed Ali Vaez;