Debt-equity choice as a signal of earnings profile over time

Anton Miglo*

*Corresponding author for this work

    Research output: Contribution to journalArticlepeer-review

    5 Citations (Scopus)
    Original languageEnglish
    Pages (from-to)69-93
    Number of pages25
    JournalQuarterly Review of Economics and Finance
    Volume47
    Issue number1
    DOIs
    Publication statusPublished (VoR) - Mar 2007

    Funding

    I am grateful to the QREF editors, two anonymous referees, Claude Fluet and Thomas Noe for especially useful suggestions and comments. Also many thanks to Bram Cadsby, Jean Cossette, Georges Dionne, Espen Eckbo, Mike Hoy, Pierre Lasserre, Deborah Lucas, Robert McDonald, Nicolas Marceau, A. Nejadmalayeri, Stephane Pallage, Michel Robe, Urs Schweizer, seminar participants at the University of Guelph, ESADE (business school), University of Bonn, UQAM, the Bank of Canada, the 2003 MidWest Finance Association meetings, the 2002 CIRPEE conference, the 2003 SCSE meetings, the 2003 International Congress of the French Finance Association and the 2003 German Finance Association meetings for their suggestions and comments. The financial support awarded by the Social Sciences and Humanities Research Council of Canada and the Institut de finance mathématique de Montréal was instrumental in enabling our continued research. I also appreciate the editing assistance of Peter Huffman, Chris Mitchell and Kaarla Sundström.

    Keywords

    • Asymmetric information
    • Debt-equity choice
    • Long-term underperformance
    • Timing of earnings

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