The study examines the relationship between stock liquidity and the firms' use of short-term debt. In addition, this study examines the impact of agency costs on this relationship and also documents whether large shareholding acts as a transmission channel through which stock liquidity may influence the use of short-term debt. The study is based on secondary financial data of non-financial Indian companies obtained from Center for Monitoring of Indian Economy Prowess database, pertaining to a period of 18 years (2000–2018). This study employs two-step generalized method of moments (GMM) techniques to arrive at results. Results of the study confirm that firms' use of short-term debt is negatively associated with stock liquidity. Additionally, we found that this relation is more pronounced for firms subjected to severe agency problems. We also find that large shareholding acts as a transmission channel through which stock market liquidity may influence the use of short-term debt.

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股票流动性和公司债务期限结构：来自印度公司的证据

该研究考察了股票流动性与公司使用短期债务之间的关系。此外，本研究考察了代理成本对这种关系的影响，并记录了大量持股是否作为股票流动性可能影响短期债务使用的传导渠道。该研究基于从印度经济实力监测中心数据库获得的非金融印度公司的二级财务数据，涉及 18 年（2000-2018 年）。本研究采用两步广义矩法 (GMM) 技术来得出结果。研究结果证实，公司使用短期债务与股票流动性呈负相关。此外，我们发现这种关系对于遭受严重代理问题的公司更为明显。