News Media Coverage and Corporate Leverage AdjustmentsCitation formats

  • Authors:
  • Tung Lam Dang
  • Viet Anh Dang
  • Fariborz Moshirian
  • Lily Nguyen
  • Bohui Zhang

Standard

News Media Coverage and Corporate Leverage Adjustments. / Dang, Tung Lam; Dang, Viet Anh; Moshirian, Fariborz; Nguyen, Lily; Zhang, Bohui.

In: Journal of Banking and Finance, Vol. forthcoming, 2019.

Research output: Contribution to journalArticle

Harvard

Dang, TL, Dang, VA, Moshirian, F, Nguyen, L & Zhang, B 2019, 'News Media Coverage and Corporate Leverage Adjustments', Journal of Banking and Finance, vol. forthcoming. https://doi.org/10.2139/ssrn.3109477, https://doi.org/10.1016/j.jbankfin.2019.105666

APA

Dang, T. L., Dang, V. A., Moshirian, F., Nguyen, L., & Zhang, B. (2019). News Media Coverage and Corporate Leverage Adjustments. Journal of Banking and Finance, forthcoming. https://doi.org/10.2139/ssrn.3109477, https://doi.org/10.1016/j.jbankfin.2019.105666

Vancouver

Author

Dang, Tung Lam ; Dang, Viet Anh ; Moshirian, Fariborz ; Nguyen, Lily ; Zhang, Bohui. / News Media Coverage and Corporate Leverage Adjustments. In: Journal of Banking and Finance. 2019 ; Vol. forthcoming.

Bibtex

@article{8ee556ee092243478c583250714b7321,
title = "News Media Coverage and Corporate Leverage Adjustments",
abstract = "We examine the impact of the media on firms’ leverage adjustments. Using a comprehensive sample of global news across 33 countries, we find that greater news coverage and more positive news sentiment are associated with greater leverage adjustment speeds. This finding is consistent with the argument that media coverage and content help lower the cost of firms’ adjustment toward target leverage. We further find evidence supporting two mechanisms through which the news media affects leverage adjustments: information dissemination and monitoring. Overall, our results are consistent with the dynamic trade-off theory of capital structure.",
keywords = "media coverage, capital structure, speed of leverage adjustment, Trade-off theory",
author = "Dang, {Tung Lam} and Dang, {Viet Anh} and Fariborz Moshirian and Lily Nguyen and Bohui Zhang",
year = "2019",
doi = "http://dx.doi.org/10.2139/ssrn.3109477",
language = "English",
volume = "forthcoming",
journal = "Journal of Banking and Finance",
issn = "0378-4266",
publisher = "Elsevier BV",

}

RIS

TY - JOUR

T1 - News Media Coverage and Corporate Leverage Adjustments

AU - Dang, Tung Lam

AU - Dang, Viet Anh

AU - Moshirian, Fariborz

AU - Nguyen, Lily

AU - Zhang, Bohui

PY - 2019

Y1 - 2019

N2 - We examine the impact of the media on firms’ leverage adjustments. Using a comprehensive sample of global news across 33 countries, we find that greater news coverage and more positive news sentiment are associated with greater leverage adjustment speeds. This finding is consistent with the argument that media coverage and content help lower the cost of firms’ adjustment toward target leverage. We further find evidence supporting two mechanisms through which the news media affects leverage adjustments: information dissemination and monitoring. Overall, our results are consistent with the dynamic trade-off theory of capital structure.

AB - We examine the impact of the media on firms’ leverage adjustments. Using a comprehensive sample of global news across 33 countries, we find that greater news coverage and more positive news sentiment are associated with greater leverage adjustment speeds. This finding is consistent with the argument that media coverage and content help lower the cost of firms’ adjustment toward target leverage. We further find evidence supporting two mechanisms through which the news media affects leverage adjustments: information dissemination and monitoring. Overall, our results are consistent with the dynamic trade-off theory of capital structure.

KW - media coverage

KW - capital structure

KW - speed of leverage adjustment

KW - Trade-off theory

U2 - http://dx.doi.org/10.2139/ssrn.3109477

DO - http://dx.doi.org/10.2139/ssrn.3109477

M3 - Article

VL - forthcoming

JO - Journal of Banking and Finance

JF - Journal of Banking and Finance

SN - 0378-4266

ER -