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The impact of metals’ prices on the capital structure of mining and metallurgic firms in Latin America (2004-2014)

Author

Listed:
  • Roberto J. Santillán Salgado

    (EGADE-ITESM, Monterrey, México)

  • Alejandro Fonseca Ramírez

    (EGADE-ITESM, Monterrey, México)

  • Francisco Venegas Martínez

    (Instituto Politécnico Nacional, México)

Abstract

This work examines the short and medium-term effects of the international prices of several mineral (gold, silver copper, zinc) and metallurgic (aluminum, steel) products, on the capital structure of mining and metallurgic firms listed in the stock markets of Argentina, Brazil, Mexico and Peru. The study uses quarterly data for the period 2000-2014. Consistent with the Dynamic Pecking Order theory, the findings confirm that profitability and the price of the products they sell, relate negatively with the firms’ financial leverage.

Suggested Citation

  • Roberto J. Santillán Salgado & Alejandro Fonseca Ramírez & Francisco Venegas Martínez, 2018. "The impact of metals’ prices on the capital structure of mining and metallurgic firms in Latin America (2004-2014)," Contaduría y Administración, Accounting and Management, vol. 63(3), pages 3-4, Julio-Sep.
    • Handle: RePEc:nax:conyad:v:63:y:2018:i:3:p:3-4
    as

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    References listed on IDEAS

    as
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