| Summary: | 碩士 === 國立高雄第一科技大學 === 財務管理系碩士班 === 105 === CEO power plays a key role in choosing corporate investment and financing decisions. Thus, it will explain the long term performance of this company. According to previous literature, either CEO power or CEO characteristics has been used to examine the impact on choice of debt financing. However, there is no paper that had considered those two factors simultaneously. So, this paper try to examine the impacts of CEO power and characteristics on the choice of debt financing.
This paper concludes that CEO power indexes are more influential than CEO characteristics on the choice of debt financing. Overall, all CEO power indexes, besides prestige power, are significantly and positively related to the choice of debt financing. It means that when the CEO has more power, the firm is more likely to issue bonds, especially issuing convertible bonds. Also, we conclude CEO characteristics have no significant impact on the choice of debt financing. However, if our firm sample is divided by CEO education, we can find that those firms when CEOs with foreign education or higher education, the firm would be more likely to issue bonds, especially convertible bonds.
|
|---|
