24 research outputs found
Investigation of the most appropriate capital structure theory and leverage level determinants
This thesis examines capital structure theories and debt level determinants to develop
a better understanding, and to establish the most appropriate theory to explain the
behaviour of firms‟ debt and equity choices. It tests three major capital structure
theories (e.g. the trade-off, pecking order and market timing theories) using static and
dynamic statistical models and 13 capital structure determinants, based on three
major capital structure theories. The study uses 4,598 sample companies from 11
countries and 27 industries over a 20 year period. This method provides a clear
insight into firms‟ debt and equity choice behaviours.
The static trade-off theory is tested by first searching for similarities and differences
between industries, countries and time periods and, second, by observing whether
firms change their capital structures towards optimal levels and whether the
coefficient signs are the same as the predictions. The "stock price effect‟ on debt
levels is used to examine the pecking order and market timing theories. The pecking
order theory is likewise tested by confirming whether firms issue debt when they
face a financial deficit. Furthermore, these theories are tested using cluster analyses.
The sample examines 11 different characteristics, which include firm size, debt level,
and bankruptcy probability. As each characteristic is related to one or more capital
structure theories, the most appropriate theory can be derived, based on such
characteristics.
There are five main findings. First, firms which are financial stable issue relatively
more debt. Second, they have a preference for moderate debt levels and thus limit
their bankruptcy probability. They also try to exploit opportunities from
overestimated stock price by issuing stocks to increase cash inflows. Third, the
effects from bankruptcy costs are greater than transaction costs in terms of capital
structure adjustment. Fourth, during the sample period, firms continuously decrease
leverage levels. Fifth, firms‟ characteristics and macro-economic factors affect their
capital structure.
There are three main conclusions. First, the behaviour of firms appears generally
aligned with the trade-off theory, although the pecking order and market timing
theories also partially explain the equity issuance condition. Second, the "equity and
debt choice modes‟ can likewise be explained by the use of a theoretically combined
approach, using the three major capital structure theories. In this approach, firms
increase their value by both increasing debt for tax benefits and low adverse selection
costs, and by issuing equity when the stock price is high. Third, this second
conclusion implies that the trade-off, pecking order and market timing theories can
be combined on the assumption that firms maximise their values under conditions of
the existence of asymmetric information, tax shields and bankruptcy probability
Cutaneous Polyarteritis Nodosa Presented with Digital Gangrene: A Case Report
Cutaneous polyarteritis nodosa (CPAN) is an uncommon form of vasculitis involving small and medium sized arteries of unknown etiology. The disease can be differentiated from polyarteritis nodosa by its limitation to the skin and lack of progression to visceral involvement. The characteristic manifestations are subcutaneous nodule, livedo reticularis, and ulceration, mostly localized on the lower extremity. Arthralgia, myalgia, peripheral neuropathy, and constitutional symptoms such as fever and malaise may also be present. We describe a 34-yr-old woman presented with severe ischemic change of the fingertip and subcutaneous nodules without systemic manifestations as an unusual initial manifestation of CPAN. Therapy with corticosteroid and alprostadil induce a moderate improvement of skin lesions. However, necrosis of the finger got worse and the finger was amputated
New genetic loci link adipose and insulin biology to body fat distribution.
Body fat distribution is a heritable trait and a well-established predictor of adverse metabolic outcomes, independent of overall adiposity. To increase our understanding of the genetic basis of body fat distribution and its molecular links to cardiometabolic traits, here we conduct genome-wide association meta-analyses of traits related to waist and hip circumferences in up to 224,459 individuals. We identify 49 loci (33 new) associated with waist-to-hip ratio adjusted for body mass index (BMI), and an additional 19 loci newly associated with related waist and hip circumference measures (P < 5 × 10(-8)). In total, 20 of the 49 waist-to-hip ratio adjusted for BMI loci show significant sexual dimorphism, 19 of which display a stronger effect in women. The identified loci were enriched for genes expressed in adipose tissue and for putative regulatory elements in adipocytes. Pathway analyses implicated adipogenesis, angiogenesis, transcriptional regulation and insulin resistance as processes affecting fat distribution, providing insight into potential pathophysiological mechanisms