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The Impact of Moral Hazard on Capital Structure

S. A. Khalifeh Soltani; S. Khajavi

Volume 13, Issue 49 , June 2016, , Pages 171-189

https://doi.org/10.22054/qjma.2016.4198

Abstract
  On the basis of Pecking Order Theory, when firms need resourcesthey usually rely on debts since capital is considered expensive due toinformation asymmetry. Moral hazard is a kind of informationasymmetry; therefore, it is expected that it has relationship withcapital structure. The purpose of this study ...  Read More