Impact of CEO Overconfidence on Capital Structure Decisions: Evidence from S&P BSE 200

被引：0

作者：

Mundi, Hardeep Singh ^{[1
,2
]}

机构：

[1] Univ Petr & Energy Studies, Sch Business, Dept Gen Management, Dehra Dun, Uttaranchal, India

[2] Univ Petr & Energy Studies, Sch Business, Dept Gen Management, Dehra Dun 248007, Uttaranchal, India

来源：

VISION-THE JOURNAL OF BUSINESS PERSPECTIVE | 2023年 / 27卷 / 01期

关键词：

Behavioural Corporate Finance; Capital Structure Decisions; CEO Overconfidence; Long-term Debt; Short-term Debt; MANAGERIAL OVERCONFIDENCE; CORPORATE; DEBT; DETERMINANTS; UNCERTAINTY; INVESTMENT; TRAITS;

D O I：

10.1177/0972262921998837

中图分类号：

F [经济];

学科分类号：

02 ;

摘要：

The article presents the impact of CEO overconfidence on capital structure decisions for Indian firms. Using a sample of S&P BSE 200 companies between 2000 and 2015, this study presents results using regression models on the panel data. The findings of this study highlight the significance of behavioural bias of CEO overconfidence to better understand capital structure decisions. This study found that overconfident CEOs prefer debt financing over equity financing and such overconfident CEOs prefer short-term debt over long-term debt. The behavioural features of CEOs are crucial for board of directors, especially in designing the compensation packages. The robustness of results using multiple proxies corroborates previous finding of western nations and shows that CEOs' overconfidence plays an important role for CEOs of developing nations too.

引用

页码：63 / 78

页数：16

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