Research On The Impact Of Marketization Level On The Ajustment Speed Of Capital Structure

Capital strucure is an important part of finance,at first,specialists paid attention to the ralation of capital strucure and corporate value to analyze the best capital strucure and its influence factors.Many articles says that characteristic variables,finance elasticity,ownership structure,economic environment and system can influence the best capital structure.these factors always change,so there is distance between capital structure and the best.The capital structure is changing all the time and the changing process can be influenced by many factors,so there is much adjustment speed which can show adjustment state.Recent studies start to focus on dynamic adjustment.Adjustment speed can be influenced by economy environment and changing policy.When the economy environment changes much,decision will be about avoiding risk,which can influence adjustment speed,because the challenge can not be estimated.economy environment is ralated to marketization level,so marketization level also can influence the speed.At the same time,the effect is connected with profitability,debt paying ability,corporate size and so on.So the study about relationship between marketization level and capital structure adjustment is important for capital structure.But this kind of study is small.We select Chinese A listed companies as simples to study the relationship between marketization level and adjustment speed and conclude that marketization level is negative related to adjustment speed because of protect from government and financing risk.And we group simples as company size and debt paying ability and find the relationship is more outstanding when the size is small or the debt paying ability is weak.we get an inspiration that improving capital structure need work from government,bank and company.Government should help area whose market is poorer,make policy to encourage financing;The bank should low requirement of financing and simplify process;Company had better adjust the plan according to economy environment and policies in order to make reasonable structure.And it is better to large company's size and improve debt paying ability.