This paper examines the determinant

This paper examines the determinants of capital structure of listed companies in Thailand during the period from 2004 to 2008 by using the pool cross sectional time series regression. The sample includes 81 firms from 6 industries. After controlling for industry, profitability negatively and significantly affects all three types of leverage, including total debt to total assets (TD), long-term debt to total assets (LTD), and short-term debt to total assets (STD). The results display that firms with high profit use less debt. Size positively and significantly affects both TD and STD, meaning that large firms use more total debt and short-term debt. Tangibility also negatively and significantly affects both TD and STD, showing that firms with high tangibility issue less total debt and short-term debt. However, growth and volatility do not affect leverage. Moreover, the service industry dummy variable (INDDUM5)
positively and marginally significantly affects STD. This means that firms in service industry, particularly in retail business sector, borrow more short-term debt in order to match with short-term assets from their regular operations.