| Summary: | 碩士 === 淡江大學 === 國際企業學系碩士班 === 102 === This thesis empirically examines the effectiveness of various capital structures in coping with the adverse effects of the U.S. subprime financial crises on the chemical industry in Taiwan. The quarterly sales of the 10 selected sample firms are examined. The event study method which uses the autoregressive model as the foundation for creating a forecasting model, are adopted to calculate the abnormal sales level to represent performances of the sample firms. Comparisons of the performances of the sample firms during the 8 seasons before and after the 2nd season of 2008 are conducted. The panel data analysis of the effects of 4 capital structures, namely the ratios of equity, long term liabilities, bank finance and accounts/ notes payables to total assets on the abnormal sales are then conducted using data covering the 10 seasons beginning from 2008Q1 to 2010Q2 and regression coefficients estimated.
The panel data analysis using the stock variables have shown that large bank loan ration brought about adverse effect to the performance during the financial crisis. Nevertheless, the flow variables analysis shows that companies that can obtain loans continently performed well. Therefore, as far as the chemical industry is concern companies that maintained good relationships with the bank and its suppliers are good strategy in run business.
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