The Use and Comparison of Survival Models for Corporate Bankruptcies
Author | : Martina Novotná |
Publisher | : |
Total Pages | : 9 |
Release | : 2018 |
ISBN-10 | : OCLC:1304414854 |
ISBN-13 | : |
Rating | : 4/5 ( Downloads) |
Download or read book The Use and Comparison of Survival Models for Corporate Bankruptcies written by Martina Novotná and published by . This book was released on 2018 with total page 9 pages. Available in PDF, EPUB and Kindle. Book excerpt: The paper is focused on the use of survival analysis for the modelling of time to event data. The main aim of this paper is to analyse the time to corporate bankruptcy, estimate multivariable survival models using different approaches of survival analysis and compare the resulting models. In this paper, there are three models used for the analysis of corporate bankruptcies from the construction sector in the Czech Republic, the semi-parametric Cox proportional hazard model, parametric exponential model and Weibull model. The empirical results of all approaches used in the analysis provide evidence that there are five key financial variables of size, return, coverage, turnover and liquidity with a significant effect on the hazard of corporate bankruptcy. The main contribution of this paper is the comparison of models estimated via three different methods of survival analysis and the identification of financial ratios with a significant effect on time to corporate bankruptcy.