Assistant Professor, University of Qom, Qom, Iran.
Abstract
The most of the studies on capital structure concentrate on the influence of certain firm characteristics on leverage and the variance of leverage across time is ignored. This paper seeks to analyze the influence of time, firm and industry level determinants of leverage by using hierarchical linear modeling. For studying this subject two Leverage measures are examined in Tehran Stock Exchange over the period 1380–1393.The results exhibit that the variance of leverage across time is more than the variance of leverage between firms and it is more than the leverage variance between industries. In addition, the relative leverage positions of firms changes across time.
