Corporate financing decisions under ambiguity: Pecking order and liquidity policy implications
This paper addresses the following unresolved questions from the perspective of ambiguity theory: Why do some firms issue equity instead of debt? Why did most firms retain their cash holdings instead of distributing them as dividends in recent times? How do firms change their financing policies duri...
Gespeichert in:
| Veröffentlicht in: | Journal of business research 2016-12, Vol.69 (12), p.6012-6020 |
|---|---|
| Hauptverfasser: | , , |
| Format: | Artikel |
| Sprache: | eng |
| Schlagworte: | |
| Online-Zugang: | Volltext |
| Tags: |
Tag hinzufügen
Keine Tags, Fügen Sie den ersten Tag hinzu!
|
| container_end_page | 6020 |
|---|---|
| container_issue | 12 |
| container_start_page | 6012 |
| container_title | Journal of business research |
| container_volume | 69 |
| creator | Agliardi, Elettra Agliardi, Rossella Spanjers, Willem |
| description | This paper addresses the following unresolved questions from the perspective of ambiguity theory: Why do some firms issue equity instead of debt? Why did most firms retain their cash holdings instead of distributing them as dividends in recent times? How do firms change their financing policies during a period of severe financial constraints and ambiguity, or when facing the threat of an unpredictable financial crisis? We analyze how the values of the firm's equity and debt are affected by ambiguity. We also show that cash holdings are retained longer if the investors' ambiguity aversion bias is sufficiently large, while cash holdings become less attractive when the combined impact of ambiguity and ambiguity aversion is relatively low. |
| doi_str_mv | 10.1016/j.jbusres.2016.05.016 |
| format | Article |
| fullrecord | <record><control><sourceid>proquest_cross</sourceid><recordid>TN_cdi_proquest_journals_1826415487</recordid><sourceformat>XML</sourceformat><sourcesystem>PC</sourcesystem><els_id>S0148296316303988</els_id><sourcerecordid>4206572871</sourcerecordid><originalsourceid>FETCH-LOGICAL-c415t-7dd187c73fa7cf40c7eda573d1bc4f5434e38d2ed1a6e2cdff2ec0e8b39f99483</originalsourceid><addsrcrecordid>eNqFkE9LxDAQxYMouK5-BCHguTVp06b1IrL4Dxb0oFdDmkyW1N2km7TCfnuz7t49PYZ582bmh9A1JTkltL7t876bYoCYF6nMSZUnOUEz2vAy4y1vTtGMUNZkRVuX5-gixp4QUhDSzNDXwofBBzkCNtZJp6xbYQ3KRutdxJPTELDcdHY12XF3h99Bfe8tPvw1nMZru52sTk08-LVVO2w3Q1I57gMu0ZmR6whXR52jz6fHj8VLtnx7fl08LDPFaDVmXOt0rOKlkVwZRhQHLSteatopZipWMigbXYCmsoZCaWMKUASarmxN27KmnKObQ-4Q_HaCOIreT8GllYI2RZ2WsARjjqqDSwUfEzAjhmA3MuwEJWKPUvTiiFLsUQpSiSRp7v4wB-mFHwtBRGXBKdA2gBqF9vafhF_rsoKF</addsrcrecordid><sourcetype>Aggregation Database</sourcetype><iscdi>true</iscdi><recordtype>article</recordtype><pqid>1826415487</pqid></control><display><type>article</type><title>Corporate financing decisions under ambiguity: Pecking order and liquidity policy implications</title><source>Elsevier ScienceDirect Journals Complete - AutoHoldings</source><creator>Agliardi, Elettra ; Agliardi, Rossella ; Spanjers, Willem</creator><creatorcontrib>Agliardi, Elettra ; Agliardi, Rossella ; Spanjers, Willem</creatorcontrib><description>This paper addresses the following unresolved questions from the perspective of ambiguity theory: Why do some firms issue equity instead of debt? Why did most firms retain their cash holdings instead of distributing them as dividends in recent times? How do firms change their financing policies during a period of severe financial constraints and ambiguity, or when facing the threat of an unpredictable financial crisis? We analyze how the values of the firm's equity and debt are affected by ambiguity. We also show that cash holdings are retained longer if the investors' ambiguity aversion bias is sufficiently large, while cash holdings become less attractive when the combined impact of ambiguity and ambiguity aversion is relatively low.</description><identifier>ISSN: 0148-2963</identifier><identifier>EISSN: 1873-7978</identifier><identifier>DOI: 10.1016/j.jbusres.2016.05.016</identifier><language>eng</language><publisher>New York: Elsevier Inc</publisher><subject>Ambiguity ; Ambiguity aversion ; Business decision-making ; Cash holdings ; Corporate liquidity ; Debt ; Dividend policy ; Equity ; Financing ; Pecking order ; Studies</subject><ispartof>Journal of business research, 2016-12, Vol.69 (12), p.6012-6020</ispartof><rights>2016 Elsevier Inc.</rights><rights>Copyright Elsevier Sequoia S.A. Dec 2016</rights><lds50>peer_reviewed</lds50><oa>free_for_read</oa><woscitedreferencessubscribed>false</woscitedreferencessubscribed><citedby>FETCH-LOGICAL-c415t-7dd187c73fa7cf40c7eda573d1bc4f5434e38d2ed1a6e2cdff2ec0e8b39f99483</citedby><cites>FETCH-LOGICAL-c415t-7dd187c73fa7cf40c7eda573d1bc4f5434e38d2ed1a6e2cdff2ec0e8b39f99483</cites></display><links><openurl>$$Topenurl_article</openurl><openurlfulltext>$$Topenurlfull_article</openurlfulltext><thumbnail>$$Tsyndetics_thumb_exl</thumbnail><linktohtml>$$Uhttps://dx.doi.org/10.1016/j.jbusres.2016.05.016$$EHTML$$P50$$Gelsevier$$H</linktohtml><link.rule.ids>314,780,784,3548,27922,27923,45993</link.rule.ids></links><search><creatorcontrib>Agliardi, Elettra</creatorcontrib><creatorcontrib>Agliardi, Rossella</creatorcontrib><creatorcontrib>Spanjers, Willem</creatorcontrib><title>Corporate financing decisions under ambiguity: Pecking order and liquidity policy implications</title><title>Journal of business research</title><description>This paper addresses the following unresolved questions from the perspective of ambiguity theory: Why do some firms issue equity instead of debt? Why did most firms retain their cash holdings instead of distributing them as dividends in recent times? How do firms change their financing policies during a period of severe financial constraints and ambiguity, or when facing the threat of an unpredictable financial crisis? We analyze how the values of the firm's equity and debt are affected by ambiguity. We also show that cash holdings are retained longer if the investors' ambiguity aversion bias is sufficiently large, while cash holdings become less attractive when the combined impact of ambiguity and ambiguity aversion is relatively low.</description><subject>Ambiguity</subject><subject>Ambiguity aversion</subject><subject>Business decision-making</subject><subject>Cash holdings</subject><subject>Corporate liquidity</subject><subject>Debt</subject><subject>Dividend policy</subject><subject>Equity</subject><subject>Financing</subject><subject>Pecking order</subject><subject>Studies</subject><issn>0148-2963</issn><issn>1873-7978</issn><fulltext>true</fulltext><rsrctype>article</rsrctype><creationdate>2016</creationdate><recordtype>article</recordtype><recordid>eNqFkE9LxDAQxYMouK5-BCHguTVp06b1IrL4Dxb0oFdDmkyW1N2km7TCfnuz7t49PYZ582bmh9A1JTkltL7t876bYoCYF6nMSZUnOUEz2vAy4y1vTtGMUNZkRVuX5-gixp4QUhDSzNDXwofBBzkCNtZJp6xbYQ3KRutdxJPTELDcdHY12XF3h99Bfe8tPvw1nMZru52sTk08-LVVO2w3Q1I57gMu0ZmR6whXR52jz6fHj8VLtnx7fl08LDPFaDVmXOt0rOKlkVwZRhQHLSteatopZipWMigbXYCmsoZCaWMKUASarmxN27KmnKObQ-4Q_HaCOIreT8GllYI2RZ2WsARjjqqDSwUfEzAjhmA3MuwEJWKPUvTiiFLsUQpSiSRp7v4wB-mFHwtBRGXBKdA2gBqF9vafhF_rsoKF</recordid><startdate>20161201</startdate><enddate>20161201</enddate><creator>Agliardi, Elettra</creator><creator>Agliardi, Rossella</creator><creator>Spanjers, Willem</creator><general>Elsevier Inc</general><general>Elsevier Sequoia S.A</general><scope>AAYXX</scope><scope>CITATION</scope><scope>8BJ</scope><scope>FQK</scope><scope>JBE</scope></search><sort><creationdate>20161201</creationdate><title>Corporate financing decisions under ambiguity: Pecking order and liquidity policy implications</title><author>Agliardi, Elettra ; Agliardi, Rossella ; Spanjers, Willem</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-c415t-7dd187c73fa7cf40c7eda573d1bc4f5434e38d2ed1a6e2cdff2ec0e8b39f99483</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2016</creationdate><topic>Ambiguity</topic><topic>Ambiguity aversion</topic><topic>Business decision-making</topic><topic>Cash holdings</topic><topic>Corporate liquidity</topic><topic>Debt</topic><topic>Dividend policy</topic><topic>Equity</topic><topic>Financing</topic><topic>Pecking order</topic><topic>Studies</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Agliardi, Elettra</creatorcontrib><creatorcontrib>Agliardi, Rossella</creatorcontrib><creatorcontrib>Spanjers, Willem</creatorcontrib><collection>CrossRef</collection><collection>International Bibliography of the Social Sciences (IBSS)</collection><collection>International Bibliography of the Social Sciences</collection><collection>International Bibliography of the Social Sciences</collection><jtitle>Journal of business research</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Agliardi, Elettra</au><au>Agliardi, Rossella</au><au>Spanjers, Willem</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>Corporate financing decisions under ambiguity: Pecking order and liquidity policy implications</atitle><jtitle>Journal of business research</jtitle><date>2016-12-01</date><risdate>2016</risdate><volume>69</volume><issue>12</issue><spage>6012</spage><epage>6020</epage><pages>6012-6020</pages><issn>0148-2963</issn><eissn>1873-7978</eissn><abstract>This paper addresses the following unresolved questions from the perspective of ambiguity theory: Why do some firms issue equity instead of debt? Why did most firms retain their cash holdings instead of distributing them as dividends in recent times? How do firms change their financing policies during a period of severe financial constraints and ambiguity, or when facing the threat of an unpredictable financial crisis? We analyze how the values of the firm's equity and debt are affected by ambiguity. We also show that cash holdings are retained longer if the investors' ambiguity aversion bias is sufficiently large, while cash holdings become less attractive when the combined impact of ambiguity and ambiguity aversion is relatively low.</abstract><cop>New York</cop><pub>Elsevier Inc</pub><doi>10.1016/j.jbusres.2016.05.016</doi><tpages>9</tpages><oa>free_for_read</oa></addata></record> |
| fulltext | fulltext |
| identifier | ISSN: 0148-2963 |
| ispartof | Journal of business research, 2016-12, Vol.69 (12), p.6012-6020 |
| issn | 0148-2963 1873-7978 |
| language | eng |
| recordid | cdi_proquest_journals_1826415487 |
| source | Elsevier ScienceDirect Journals Complete - AutoHoldings |
| subjects | Ambiguity Ambiguity aversion Business decision-making Cash holdings Corporate liquidity Debt Dividend policy Equity Financing Pecking order Studies |
| title | Corporate financing decisions under ambiguity: Pecking order and liquidity policy implications |
| url | https://sfx.bib-bvb.de/sfx_tum?ctx_ver=Z39.88-2004&ctx_enc=info:ofi/enc:UTF-8&ctx_tim=2025-01-09T12%3A28%3A53IST&url_ver=Z39.88-2004&url_ctx_fmt=infofi/fmt:kev:mtx:ctx&rfr_id=info:sid/primo.exlibrisgroup.com:primo3-Article-proquest_cross&rft_val_fmt=info:ofi/fmt:kev:mtx:journal&rft.genre=article&rft.atitle=Corporate%20financing%20decisions%20under%20ambiguity:%20Pecking%20order%20and%20liquidity%20policy%20implications&rft.jtitle=Journal%20of%20business%20research&rft.au=Agliardi,%20Elettra&rft.date=2016-12-01&rft.volume=69&rft.issue=12&rft.spage=6012&rft.epage=6020&rft.pages=6012-6020&rft.issn=0148-2963&rft.eissn=1873-7978&rft_id=info:doi/10.1016/j.jbusres.2016.05.016&rft_dat=%3Cproquest_cross%3E4206572871%3C/proquest_cross%3E%3Curl%3E%3C/url%3E&disable_directlink=true&sfx.directlink=off&sfx.report_link=0&rft_id=info:oai/&rft_pqid=1826415487&rft_id=info:pmid/&rft_els_id=S0148296316303988&rfr_iscdi=true |