What question did this study set out to answer?

The study investigates if unfunded pension obligations are perceived as debt by capital market participants and their impact on firm risk.

Measurement of Financial Leverage in the Presence of Unfunded Pension Obligations.

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Examines financial leverage impacts of unfunded pension obligations on firm risk perception, suggesting they are viewed similarly to debt.

The study investigates if unfunded pension obligations are perceived as debt by capital market participants and their impact on firm risk.
Empirical examination of unfunded pension obligations and financial leverage.
Utilization of Hamada's model from 1972 to relate systematic risk to financial risk and business risk.
Analysis of market perceptions regarding firm risk with and without including pension liabilities.
Including unfunded pension liabilities improves the explanatory power of financial leverage measurements.
The effect of unfunded pension liabilities on perceived firm risk is statistically similar to that of other debts.
Capital market participants generally view unfunded pension obligations as a type of debt.

Dan S. Dhaliwal (1986) studied this question.

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Examines financial leverage impacts of unfunded pension obligations on firm risk perception, suggesting they are viewed similarly to debt.