The benefit of being public: Evidence from survival analysis of corporate financing

Takashi Yoshida

Journal of Financial Research, 2021, vol. 44, issue 4, 839-874

Abstract: This study empirically investigates the most typical benefit of being public (i.e., having listed firm status), namely, ease of financing. Applying the Cox proportional hazards model to the data of Japanese public and private firms from 1999 to 2011, I find that being public enhances a firm's responsiveness of debt issuance, debt retirement, and equity increase to the deviation of the actual leverage from the estimated target leverage. I argue that the enhancement in the responsiveness of these financing decisions provides evidence on the ease of financing that results from being public.

Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/jfir.12265

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:jfnres:v:44:y:2021:i:4:p:839-874

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0270-2592

Access Statistics for this article

Journal of Financial Research is currently edited by Jayant Kale and Gerald Gay

More articles in Journal of Financial Research from Southern Finance Association Contact information at EDIRC., Southwestern Finance Association Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().