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- W153971462 abstract "The purpose of this paper is to test the managerial and pecking order hypotheses for German stock corporations using annual reports, stock prices and other information for the years 1974–1992. The managerial hypothesis predicts the preference of internal to external financing if the manager’s utility function diverges from the owners’, to avoid additional monitoring. If internal funds are unavailable or insufficient, the management will prefer to issue debt instead of equity, because creditors usually have less chances of influencing managerial practice than the company’s owners. Issuing equity is thus seen as a positive signal, as it announces the reduction of information asymmetries (contrary to the pecking order theory). In the empirical section the degree of informational asymmetry and managerial discretion is described by such variables as block ownership or market segment. Probabilistic and general regression neural networks complement the discriminant analysis, polynomial and general regression neural networks the seemingly unrelated regression." @default.
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- W153971462 date "1998-01-01" @default.
- W153971462 modified "2023-09-23" @default.
- W153971462 title "An Analysis of the Financing Behavior of German Stock Corporations Using Artificial Neural Networks" @default.
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- W153971462 doi "https://doi.org/10.1007/978-3-642-58272-1_8" @default.
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