The Influence Factors Of Capital Structure Of Listed Companies In Our Country And The Dynamic Adjustment

Based on previous study, this paper analyzes the factors affecting optimal capital structure and the adjustment speed towards it, builds a dynamic adjustment model including three estimating equations, and uses dynamic panel data and non-linear least square method, aiming at investigating the dynamic adjustment process of the capital structure of listed companies in China. In addition, based on estimated adjustment speed and optimal capital structure, this paper summaries the adjustment speed and optimal ratio by year and industry to find the changes along with time and differences caused by industry.The result shows that, comparing to static model, the dynamic model has stronger explanatory power, and the adjustment behavior of the capital structure of listed companies shows the characteristics of dynamic adjustment. The optimal capital structure is negatively related to current ratio, non-debt tax shield, net profit ratio and growth, and positively related with the size of the company, the proportion of tangible assets, and the survival time. The adjustment speed has positive relationship with the size of the company and growth, and negative relationship with the distance deviating from the optimal capital structure. The optimal capital structure and adjustment speed vary with time and industry. Generally speaking, there is widespread phenomenon of low leverage in China. Due to the high adjustment cost, the adjustment process towards optimal leverage level is relatively slow.This paper has made up the defect of analyzing capital structure using static method, overcome the shortage of assuming that adjustment speed is constant, improved the empirical research system about the factors affecting capital structure, and provided guidance of optimizing capital structure for enterprises.