Research On Capital Structure Of Listed Companies In Henan

Modern capital structure theory has independently become an important area of modern economics research since The mid-and late of 1950'.MM theory was developed by Modigliani and Miller in their paper in 1958.From then on,The issue of capital structure has caused great interests among financial academics and financial practices.MM theory supposes that the capital structure of a firm is not correlated with its value in the conditions that there exist no trade cost,tax and information asymmetry for the firm.The MM theory describes the ideal status.From 1960's to 1990's,many scholars release some theoretical hypothesis of MM to meet the realities of business.And they find that there is a close connection between capital structure and firm's value.But the controversy surrounding the capital structure has never stopped --whether corporates exist the optimal capital structure? Enterprise how to choose the capital structure? Economic theory has been the focus of the field of study.Resulting capital structure of the enterprises is also having new changes.But how the capital structure of China's regional listed companies now? What factors affect capitals tructure of the regional listed companies? Is it reasonable ? At least,at present there is no clear answer.Henan Province,a total of 38 stocks in the domestic A-share market trading at the end of 2008,in terms of quantity and size of assets is not Symmetrical with it's status in the central region.With other regions, most of A-share companies of Henan Province listed by the original development of state-owned enterprises,there are many similarities with the state-owned enterprises and there are many problems in the development of enterprises,we need to be studied carefully in practical work,as the listed companies in these specimens,analyze the problems in the development of the enterprises of our province,to better serve local economic construction in Henan.This article is divided into five parts:Introduction to the first chapter to introduce the significance of this study,selection based on Research methods,data sources,the definition of related concepts;theory of evolution in second chapter and Commentary for a detailed overview of the theory of capital structure,as well as the development process of the review of the theory,at home and abroad to introduce the theory of capital structure and analysis of empirical research conclusions;Chapter third analysis the factors that affect the capital structure.Chapter fourth A shares for the Henan Province,the analysis of listed companies,mainly in Henan Province in the A-share market listed companies and the capital structure of the situation,the use of Henan in 2008 financial data of listed companies through the capital structure of the model to explain the estimated regression coefficient analysis of growth,firm size,profitability, collateral value,the company income tax,non-debt tax shield and the correlation between the level of debt,in a detailed analysis of the theoretical basis for this paper,the regression model-building and empirical research to draw Empirical conclusions;the chapter five in the conclusions based on the optimization of capital structure of listed companies in Henan the relevant recommendations.