The Empirical Study on the Impact of Economic Value Added on Capital Structure of Listed Company in Information Technology Industry

摘要

The State-owned Assets Supervision and Administration Commission of the State Council has adopted EVA (Economic Value Added) to assess the performance of state-owned enterprises, which suggests that the significance and advantage of using EVA as a performance evaluation indicator is increasingly prominent. Besides, capital structure is an important factor influencing enterprise value, optimizing capital structure can enhance enterprise value. However, EVA includes the cost of capital, so the relationship between the two has become a problem worthy of study. This paper selected 106 listed companies in IT (Information Technology) industry in the period of 2011-2014, formed the sample of unbalanced panel date, empirical researched the relationship between economic value added and its capital structure. The empirical results showed that: EVA does affect the formation of capital structure in IT industry, but the degree is hysteretic and not great. Also, the conclusion can help regulators and investors to predict the behavior of enterprises and investment risk.