DocumentCode
1856331
Title
Notice of Retraction
Study on the reason of equity financing preference
Author
Qifeng Wu
Author_Institution
Dept. of Finance, Coll. of Liuzhou Teachers, Liuzhou, China
Volume
3
fYear
2011
fDate
13-15 May 2011
Firstpage
847
Lastpage
851
Abstract
Notice of Retraction
After careful and considered review of the content of this paper by a duly constituted expert committee, this paper has been found to be in violation of IEEE´s Publication Principles.
We hereby retract the content of this paper. Reasonable effort should be made to remove all past references to this paper.
The presenting author of this paper has the option to appeal this decision by contacting TPII@ieee.org.
There was a clear preference of equity financing in China, which was contrary to pecking order theory in Western-developed markets. Why this phenomenon happens in China? This article studied from the perspective of soft restriction of equity financing cost. Because of soft restriction, makes the total cost of equity financing lower than debt financing costs, equity financing preference formatted. Even if there is equity financing cost higher than debt financing costs, because there were exist imperfect corporate governance and capital markets, lead to equity financing costs lack of binding for the enterprises financing decisions, will inevitably lead to equity financing preference. This article concludes with a number of recommendations.
After careful and considered review of the content of this paper by a duly constituted expert committee, this paper has been found to be in violation of IEEE´s Publication Principles.
We hereby retract the content of this paper. Reasonable effort should be made to remove all past references to this paper.
The presenting author of this paper has the option to appeal this decision by contacting TPII@ieee.org.
There was a clear preference of equity financing in China, which was contrary to pecking order theory in Western-developed markets. Why this phenomenon happens in China? This article studied from the perspective of soft restriction of equity financing cost. Because of soft restriction, makes the total cost of equity financing lower than debt financing costs, equity financing preference formatted. Even if there is equity financing cost higher than debt financing costs, because there were exist imperfect corporate governance and capital markets, lead to equity financing costs lack of binding for the enterprises financing decisions, will inevitably lead to equity financing preference. This article concludes with a number of recommendations.
Keywords
costing; stock markets; Chinese equity financing preference; Western-developed markets; capital markets; corporate governance; debt financing cost; enterprises financing decision; equity financing cost; pecking order theory; soft restriction; Companies; Industries; Lead; Security; Stock markets; Equity Financing; Preference; Soft Restriction;
fLanguage
English
Publisher
ieee
Conference_Titel
Business Management and Electronic Information (BMEI), 2011 International Conference on
Conference_Location
Guangzhou
Print_ISBN
978-1-61284-108-3
Type
conf
DOI
10.1109/ICBMEI.2011.5920391
Filename
5920391
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