Table 4 Regression estimations of the...

Table 4

Regression estimations of the OLS fixed-effects and FLGS models for the 2007–2022

Model	OLS (model 1)	Fixed effects (model 2)	FLGS (model 3)
α_t	−0.05725	0.1484722	−0.05725
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.01262	0.03941	0.0124982
CBIR_t	0.04852	0.0996,381	0.04852
P-value	(0.539)	(0.176)	(0.534)
Std. error	0.07886	0.0733607	0.0780739
PF_i,t-1	0.32291^***	0.1955755^***	0.3229173^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.02248	0.0277354	0.0222587
CA_i,t	0.16681^***	0.2383933^***	0.16681^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.01495	0.0189432	0.0148092
SZ_i,t	0.0018317^***	−0.0069283^***	0.001831^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.000483	0.0016291	0.0004788
GR_i,t	0.02152^***	0.0180224	0.02152^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.0028	0.002578	0.0124982

Model	OLS (model 1)	Fixed effects (model 2)	FLGS (model 3)
α_t	−0.05725	0.1484722	−0.05725
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.01262	0.03941	0.0124982
CBIR_t	0.04852	0.0996,381	0.04852
P-value	(0.539)	(0.176)	(0.534)
Std. error	0.07886	0.0733607	0.0780739
PF_i,t-1	0.32291^***	0.1955755^***	0.3229173^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.02248	0.0277354	0.0222587
CA_i,t	0.16681^***	0.2383933^***	0.16681^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.01495	0.0189432	0.0148092
SZ_i,t	0.0018317^***	−0.0069283^***	0.001831^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.000483	0.0016291	0.0004788
GR_i,t	0.02152^***	0.0180224	0.02152^***
P-value	(0.000)	(0.000)	(0.000)
Std. error	0.0028	0.002578	0.0124982

Note(s): PF = profitability measured through return on assets (ROA), CBIR = the average annual central bank interest rate, CA = capital adequacy measured as the ratio of equity to total assets (book value), SZ = bank size measured as the natural logarithm of the bank’s book value of total revenue, GR = the percentage change in revenue (book value)

Note(s): *p < 0.1, **p < 0.05, ***p < 0.01

Source(s): Created by authors

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