empirical study of capital structure on agency.DOCVIP

Empirical Study of Capital Structure on Agency Costs in Chinese Listed Firms Hongxia Li*, Liming Cui** * School of Management, Harbin University of Science and Technology, Harbin, Heilongjiang 150080, China; ** Aston Business School, Aston University, Birmingham, B4 7ET, UK.  lhx_2002@, Liming_cui@. Abstract: This study examines the impact of capital structure on agency costs in 211 non-financial Chinese listed firms for the period 1999-2001. There are two main findings. (1) Firms with high debt to asset ratio have high ratio of annual sales to total assets and high ratio of return-on-equ