دور المرونة المالية في التأثير على قرارات هيكل رأس المال : دراسة لعينة من الشركات الصناعية

Abstract EN

The main objective of this study is to investigate the effect of financial flexibility on capital structure decisions adopted by industrial companies listed in Amman Stock Exchange for the period 2000-2009.

Using Two Stage Simultaneous Equations Model (2SLS), the study found a linear relationship between proxies of financial flexibility and the company’s debt ratio, where the higher the size and the higher the growth opportunities, the less is the company’s concern with financial flexibility and its effect on funding decisions.

The results also revealed that large companies with high growth opportunities are inclined to use more debt rather than issuing equity.

The study also indicates that large companies have a tendency to increase its dividends payout ratio.

Hence the study’s main conclusion reveals that the relationship between leverage and financial flexibility proxies (size, retained earnings, dividends) possess a linear relationship.