Science & Engineering Research Support soCiety (SERSC)
The inflation often causes insecure impact on the capital structure, and the inflation is used as an important indicator of the economy state. To analyze the insecure impact of the inflation, an analysis model is proposed to reflect the inflation's effect on the capital structure of the company, in this paper. The authors use the parameter CPI to measure the inflation. Because the inflation is a time series that affects the capital structure for a long time, they choose different CPIs for different time, i.e. the current month (CPI), three months ago (CPI3), six months ago (CPI6), one year ago (CPI12), half and one year ago (CPI18), and two years ago (CPI24).