Growth status and persistence in the cross section of corporate capital structure
This dissertation looks at the link between growth status and the cross-section of corporate capital structure. Initially, I propose initial growth status, an idea depending on a two-way sort on firms’ market-to-book and asset tangibility in early yrs after Initial public offering, not just reflects the cross-sectional variants in leverage ratios, but in addition unveils the time in-variant evolutions in capital structure. That’s, high (low) growth status firms generally have steady low (high) leverage over extended periods of time.