Corporate investment decisions are determined by a variety of factors, including various managerial measures, including overconfidence of managers, which are important determinants of corporate investment decisions. Most corporate executives prefer Internal Financing, but if Internal resources are not sufficient to meet this need, they use external resources with the least degree of information asymmetry. The purpose of this study was to investigate the effect of managerial overconfidence on investment and the moderating effect of the Internal Financing method is on their relationship. The study consisted of listed companies in Tehran Stock Exchange during the period 2011 to 2016 and using a systematic elimination sampling method, 97 companies were selected. To investigate the research hypotheses, EVIEWS software and panel data regression method was used. The results of the research showed that managers’ overconfidence has a positive and significant effect on investment as well as underinvestment, but Internal Financing does not have a significant effect on the relationship between the overconfidence of managers and investment as well over-investment. But the effect of Internal Financing on the relationship between managers’ overconfidence and underinvestment was a significant positive. Finally, it became clear that Internal Financing had a significant negative impact on investment and over-investment.

Objective: One of the most important decisions managers should take and one of the crucial components of every business unit operation is Financing. Managers have the control over choosing the resource of Financing and compared with external Financing, Internal Financing is much easier for them. Choosing the optimal Financing policy by managers plays an important role in risk and wealth creation for shareholders. Manager’ s over confidence is an important behavioual characteristic that affect the way managers invest, finance and decide on dividend policies. Managers prefer Internal Financing over external Financing because they have more control on Internal resources and then, when this is combined with risk-taking behavior of over confident managers they can affect the investment efficiency since they may stray from the optimal level of investment. On the other hand, if managers feel that corporate governance mechanisms constraint them or they have insufficient Internal resources for investing, they may be reluctant to invest. The purpose of this study is to investigate the relationship between management over-confidence, Internal Financing and investment efficiency. Method: This is an applied reseach and it is a quasi-emprical research and its methodology is post-event research. This research investigates the real data of firms listed on Tehran Stock Exchange (TSE) and because of that its results are generalizable to the research population. In this research we have used systematic elimination method to chose the research sample. In order to test the research hypothesis, time priod of 2012 to 2018 were chosen and the multivariate regression model by combined data method was used obtain the results. Data from 188 firms were analyzed and we used Microsoft Excel and Eviews version 9 to analyze the data and extract research results. Results: The results of testing research hypotheses show that there is a negative significant relationship between Internal Financing and investment efficiency. It can be said that the benefits of Internal Financing has decreased the efficiency of firms’ investment, an example of this benefits is the availability of Internal resources. This availability cause managers to violate the optimum level of investment (over-invest or under-invest in projects). Also, there is a negative relationship between Internal Financing and over-investment and a positive relation between Internal Financing and under-investment. Putting into another words, in firms with under-investment, the level of Internal Financing is higher and the amount of external resources for Financing decreases. So, the Internal Financing is one of the reasons we have underinvestment in firms. In addition, taking together the effects of management over confidence and Internal Financing, investment efficiency decreases. This results are consistent with research theoretical literature. In contrast to Internal Financing, external Financing creates some limitations for managers and because of that managers are reluctant to finance through external resources. So, this is why the revel of investment strays form its optimum level. This results are in line with He et al (2019), Taghizade Khanqah & Badavar Nahandi (2020) and Faraji et al (2019). Conclusion: Internal Financing is a factor that affect under-investment positively. So, based on managers control over Internal resources and their concern about valuation of their firm by market, it is evident that they prefer to face minimally with control mechanisms and external regulation. In addition, it can be said that, it is not always for the best interest of firm and its shareholders to have a high degree of Internal Financing. Therefore stockholders should consider this in their analysis. Putting constraints on the level of Internal Financing (based on its effect on the level of investment by managers) by stake holders can affect the return of firm considerably. Also, the relationship between use of Internal Financing and the level of investment by managers and their over-confidence may be a two-way relationship. With an increase in the use of Internal Financing and the decreasion of over-investment and increasion of under-investment, the predicted income of projects and the firm in total may be decreased, that in this case the over-confidence of managers will in turn decrease again.

Objective: The purpose of this study is to examine the relationships between management overconfidence, Internal Financing, and investment efficiency in the companies listed in the Tehran Stock Exchange. Method: A sample of 130 companies was selected in the period 2007-2017. To measure investment efficiency, the indicators of over-and under-investment were rated. Also, to measure management overconfidence and Internal Financing, capital expenditures and retained earnings were assessed, respectively. Results: The findings showed that there is a positive relationship between management overconfidence and Internal Financing. Also, there are positive relationships between management overconfidence and investment level, and between management overconfidence and over-investment, and there is a negative relationship between the management overconfidence and under-investment. On the other hand, the results showed that there are positive relationships between Internal Financing and the investment level, and between Internal Financing and over-investment, and that there is a negative relationship between Internal Financing and under-investment. The results indicate that 1) Internal Financing has positive effects on the relationship between managerial overconfidence and the level of investment, 2) the interactive effect of Internal Financing on the relationship between the managerial overconfidence and over-investment is significant and positive, while the similar effect concerning under-investment is not significant. Conclusion: Existence of Internal resources increases the motivation of overconfidence managers in using personal gain resources and leads to non-optimal investment behaviors. This process is done by increasing the levels of investment.

Financing is the main problem of small and medium sized enterprises (SMEs) and of course their main Financing source is bank facilities in our economy. Thus, the purpose of this study is to consider the dynamic interactions of effective variables and also Internal and external problems in Financing via heuristic approach and by using system dynamics method. Research systemic model and causal variables– with regards to the literature review and Khodabakhshian et al (2013) study- are developed, modeled, simulated and analyzed by this approach and applying Vensim DSS software. The overall results of this study shows, increasing ease of access to loans and business plan quality can increase privatization rate, banks financial resources and lending to SMEs and decrease corruption. It also shows, increasing the revenue and SMEs' cash flows will follow increasing loan repayment probability and decreasing bad debts.

This study aimed to identify the most effective Financing model by analyzing the Internal and external factors influencing companies. We compiled data from 159 companies spanning 2012 to 2021, encompassing 1,590 company-years, to test 14 hypotheses. These hypotheses were evaluated using Structural Equations Modeling (SEM) with SmartPLS4 software across 3 distinct models. The Financing model was categorized into 3 components: Internal Financing, short-term external Financing, and long-term external Financing. The findings revealed that the following factors significantly impacted all three types of Financing: 1) Board of Directors’ characteristics; 2) Audit characteristics; 3) Internal control characteristics; 4) Ownership structure; 5) Managerial characteristics; 6) Financial reporting quality; 7) Financial performance; 8) Market performance; 9) Investment efficiency; 10) Competitive strategies; 11) Corporate social responsibility; 12) Political communication; 13) Economic uncertainty; and 14) Firm characteristics. Notably, economic uncertainty was found to exert a negative and significant effect on Financing across all three dimensions, while the other variables positively facilitated company Financing. Furthermore, the analysis indicated that the selected structures had greater explanatory power for long-term Financing compared to Internal and short-term Financing as evidenced by the determination coefficients of all three models.

The purpose of this study is to examine the effect of Managerial overconfidence the Relationship between Internal Financing and investment efficiency. The statistical population of the study is Tehran Stock Exchange companies. Sampling method was used for systematic sampling (screening), according to which 87 companies were selected as sample. The present research is an applied and post-event method. The realm of research has been from 2012 to 2017. To investigate the hypotheses of the research, ordinary least squares method has been used in the form of Eviews software. Research findings show that Internal Financing has a positive and fair effect on investment efficiency. And Internal Financing does not have a positive relationship with investment. Also, Internal Financing has a negative and equitable relationship with low investment. The Managerial overconfidence on the relationship between Internal Financing and investment efficiency is not the same.

This paper attempts to study the effect of Financing method and growth of firms' profit while it also identifies the influencing factors on firms’ external Financing needs. To do so, a sample including 30 large firms active in Tehran Stock Exchange has been considered during 2001-2011. The data set is extracted from each firm's financial statements.Using Panel Data approach we find that comparing to other factors, short-term Financing is more important to achieve higher growth rates. Profit sharing model among firms is considered to be one of the reasons for lower growth rate of firms in Iran. In this regard, the results imply a positive relationship between rise in firm's incomes and profitability. Moreover, an increase in long-term liabilities implies long-term Financing needs to pay back the firms’ long-term debts in order to reach a sustainable growth rate. Investment and dividends also do not have an effect on firms' long-term Financing need to support their continuous growth.

Objective: One of the most important decisions of corporate managers is how to finance economic enterprises, which play an important role in the continuation and growth of their profitability. Numerous factors can affect companies' Financing decisions, including the personality traits of senior managers. The purpose of this article is to investigate the effect of excessive self-confidence of managers on companies' Financing working procedures in Tehran Stock Exchange. Method: The statistical population of this research is the companies listed in Tehran Stock Exchange and its statistical sample includes data of 139 companies during the seven-year period 2011-2017. The sampling method is systematic removal and the method used for estimating the model is multivariate regression method using estimation of combined data with fixed effects. Findings: The results showed that there is an inverse and significant relationship between excessive self-confidence of managers and Financing through Internal resources of the company, so that increasing self-confidence of managers reduces Financing through Internal resources of the company, so that increasing self-confidence of managers reduces Financing through Internal resources of the company. There is also a significant and direct relationship between managers' overconfidence and Financing out of company, so that high self-confidence leads the corporate managers toward extra-organizational Financing, and thus the amount of out-of-company financed resources increases. Conclusion: Overconfidence causes managers to fail to act rationally and misinterpret their accepted risk level. For this reason, overconfident managers may, contrary to expectations, be inclined to this type of Financing despite the risk of out-of-company Financing, and ultimately cause to increase the company's financial costs and reduce its profitability.

The purpose of this study is to measuring the the effect of Financing approaches on the total real rate of return of the Companies listed in Tehran stock exchange of listed companies in Tehran stock exchange. In this regard, we have tried to test some variables such as, cost of capital, Retained Earning, leverage, Profitability, firm’s Size to measure their impact on total real rate of return. In this study, at the first step there are 43 companies were studied in the field of producing companies and then there 39 companies were examined in the field of petrochemicals in the period from 1390 to 1394. At the next step, data is extracted from the financial statements of companies and then is analyzed by Eviews software and using panel data approach. The results show that research’s variables (incloading: cost of capital, Retained Earning, leverage, Profitability, firm’s Size) have positsve impact firm’s total real rate of return. It can be concluded that the relationship between Financing approaches and independent variables. Finally, some recommendations are presented to inform shareholders and investors in this fims on how to use Financing approaches.

This paper focuses on Internal and external factors, which influence the inflation rate in developing countries. A monetary model of inflation rate, capable of incorporating both monetary and fiscal policies as well as other Internal and external factors, was developed and tested on Iranian data. It was found that, over the long run, a higher exchange rate leads to a higher price and that the fiscal policy is very effective to fight inflation. The major factors affecting inflation in Iran, over the long run, are Internal rather than external. However, over the short run, the sources of inflation are both external and Internal.