Empirical Study about Capital Structure on High-tech Industry

The capital structure of enterprises presents the dynamic adjustment process around its optimal point in many influential factors. This paper utilized the dynamic adjusting model to empirically examine the factors of affecting the capital structure of Chinese high-tech industry. It showed that the capital structure of Chinese high-tech industry exists adjustment cost, and deviates the optimal point to a greater degree. By comparing analysis between the static and the dynamic model, it proves that dynamic models are more scientific and rational than static model and much better explains the factors affecting the capital structure of Chinese high-tech industry. The results also demonstrated that those factors of each capital structure contribute to their own industry characteristics and the research regarding sub-sectors of the capital structure is feasible and more scientific.