Jun JiangSuveera SrijaroenMahidol University. Mahidol University International College. Business Administration Division2015-09-042018-04-102015-09-042018-04-102015-09-04Australian Journal of Business and Management Research. Vol. 1, No.6 (2011), 134-142https://repository.li.mahidol.ac.th/handle/20.500.14594/10525The study aims to identify the determinants of Thai listed firms’ capital structure using derived theoretical-based models from CAPM and Hamada equations, which incorporate the control variables, i.e. company’s operating performance and capital size, with time-invariant and random effects, for improving the explanatory power of the model. The empirical test employs the quarterly data covering the year 2006 to 2010 from the Stock Exchange of Thailand. The results showed that the tax shield and industry classification explicitly demonstrate material relevance to the alteration of the firm’s degree of financial leverage. The results also showed that the fixed assets merely exert moderate influences on the firm’s willingness to implement a policy of increasing financial leverage. Conclusively, none other relevant factors possess a significant impact on the choice of capital structure, in the case of Thailand.engMahidol UniversityCapital StructureTax shieldFinancial leverageArticleEBSCOhost