Faculty Publications
Document Type
Article
Publication Version
Published Version
Keywords
Credit rating, Organizational capital
Journal/Book/Conference Title
Finance Research Letters
Volume
57
Abstract
This study uses pooled OLS to examine the effect of organizational capital on credit ratings using a large sample of US firm data from 1989 to 2017. The main finding reveals that firms with higher organizational capital receive higher credit ratings. This finding is robust to numerous robustness tests, alternative estimation techniques, and attempts to mitigate omitted variable and endogeneity concerns. Further, the positive effect of organizational capital on credit ratings is more prominent when firms are more financially constrained. Overall, our findings reveal the importance of organizational capital in the credit ratings of a firm.
Department
Department of Finance
Original Publication Date
11-1-2023
Object Description
1 PDF File
DOI of published version
10.1016/j.frl.2023.104277
Repository
UNI ScholarWorks, Rod Library, University of Northern Iowa
Copyright
©2023 The Author(s). This article is available under the Creative Commons CC-BY-NC-ND license and permits non-commercial use of the work as published, without adaptation or alteration provided the work is fully attributed.
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.
Language
en
File Format
application/pdf
Recommended Citation
Panta, Humnath; Narayanasamy, Arun; and Panta, Ayush, "Organizational Capital and Credit Ratings" (2023). Faculty Publications. 5458.
https://scholarworks.uni.edu/facpub/5458
Comments
First published in Finance Research Letters, v57 (Nov 2023) published by Elsevier B.V. DOI: https://doi.org/10.1016/j.frl.2023.104277