Does export intensity of heterogeneous firms affect leverage? Evidence from a small open economy

Autores/as

  • IMRAN RAMZAN DR
  • Ömer Lütfi Gebizlioglu

DOI:

https://doi.org/10.17811/ebl.12.4.2023.356-365

Palabras clave:

Leverage, Export Intensity, Financial Policy, GMM

Resumen

Exports at firm level improve the financial performance and thereby contribute to economic growth. Exporting activities require additional financing and become a challenge to manufacturing firms, thus affecting managerial financing decisions. This study explores the impact of export intensity on leverage by using a dataset of manufacturing firms. The results of two-step system GMM reveal that export intensity negatively influences the leverage. We find that a firm’s size positively impacts the leverage, while cash holding has a negative connection with leverage. Finally, we note that board size exhibits a positive relationship to leverage. These findings suggest important policy implications for export promotion, specifically for a small open economy. The results are robust to different sensitivity checks.

Biografía del autor/a

IMRAN RAMZAN, DR

Dr. Imran Ramzan completed his PhD Banking and Finance degree from Kadir Has University.

Ömer Lütfi Gebizlioglu

Prof. Dr. ÖMER LÜTFİ GEBİZLİOĞLU is a Professor and Head of Department of International Trade and Finance in Kadir Has University, Turkey.

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Publicado

2023-12-15

Cómo citar

RAMZAN, I., & Gebizlioglu, Ömer L. (2023). Does export intensity of heterogeneous firms affect leverage? Evidence from a small open economy. Economics and Business Letters, 12(4), 356–365. https://doi.org/10.17811/ebl.12.4.2023.356-365

Número

Vol. 12 Núm. 4 (2023): December

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Artículos

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