The capital structure has remained a controversial topic in corporate finance over the last two decades. A proper financing mix contributes to firm value maximization while an unpremeditated decision poses threat to firm survival. Nevertheless, the disparities exist when it comes to capital structure determinants: on one hand, some capital structure theories have provided some guidance; on the other hand, the empirical results are more often than not contradictory. Traditionally, the capital structure of Dutch firms is not well studied as G-7 countries and the evidence that is after 1997 is...