ICE and performance (ROE)
| Column 1 | Column 2 | Column 3 | Column 4 | Column 5 | |
|---|---|---|---|---|---|
| Variables | ROE | ROE | ROE | ROE | ROE |
| L.ROE | −0.1466*** | −0.1259*** | −0.1341*** | −0.0644*** | −0.1485*** |
| (0.0052) | (0.0185) | (0.0276) | (0.0058) | (0.0058) | |
| RCE | −1.4660*** | ||||
| (0.3207) | |||||
| CEE | 0.0736** | ||||
| (0.0278) | |||||
| SCE | 0.0040*** | ||||
| (0.0006) | |||||
| HCE | 0.0292* | ||||
| (0.0170) | |||||
| MVAIC | 0.0036*** | ||||
| (0.0011) | |||||
| SoD | −0.0381*** | −0.0058 | −0.0191* | 0.0063 | −0.0154 |
| (0.0052) | (0.0199) | (0.0113) | (0.0120) | (0.0109) | |
| RoWoB | 0.1075 | 0.4963** | 0.3673* | −0.1822 | 0.3024** |
| (0.0833) | (0.1916) | (0.2066) | (0.1691) | (0.1479) | |
| OSS | 0.0006* | 0.0023** | 0.0008 | 0.0002 | 0.0018** |
| (0.0003) | (0.0011) | (0.0013) | (0.0009) | (0.0007) | |
| LIQU | −0.1820*** | −0.2561 | −0.3340 | −0.2534*** | −0.0999 |
| (0.0523) | (0.2885) | (0.2594) | (0.0861) | (0.1531) | |
| BusSize | −0.0103 | −0.0643 | 0.0122 | 0.0126 | −0.0537** |
| (0.0210) | (0.0486) | (0.0554) | (0.0234) | (0.0216) | |
| Leverage | 0.3657*** | 2.0822*** | 0.7405*** | 0.1804* | 0.5820*** |
| (0.0587) | (0.5571) | (0.2597) | (0.0917) | (0.1944) | |
| GDPgrwth | 0.0053 | 0.0008 | 0.0039 | 0.0115** | 0.0030 |
| (0.0034) | (0.0078) | (0.0065) | (0.0052) | (0.0031) | |
| Constant | 0.2022 | −0.7799 | −0.7011 | −0.4126 | 0.4789 |
| (0.3339) | (1.2329) | (1.0656) | (0.4423) | (0.4826) | |
| Hansen test (p-value) | 11.55(0.240) | 3.41(0.492) | 7.45(0.114) | 6.51(0.688) | 9.37(0.154) |
| AR (2) p-value | 0.06 (0.954) | 0.39(0.697) | 0.20(0.843) | 0.43(0.665) | 0.29(0.772) |
| Instruments | 19 | 14 | 14 | 19 | 16 |
| p-value | 0.000 | 0.000 | 0.000 | 0.000 | 0.000 |
| Observations | 136 | 202 | 202 | 202 | 202 |
| Number of firms | 37 | 49 | 49 | 49 | 49 |
| Column 1 | Column 2 | Column 3 | Column 4 | Column 5 | |
|---|---|---|---|---|---|
| Variables | ROE | ROE | ROE | ROE | ROE |
| L.ROE | −0.1466*** | −0.1259*** | −0.1341*** | −0.0644*** | −0.1485*** |
| (0.0052) | (0.0185) | (0.0276) | (0.0058) | (0.0058) | |
| SoD | −0.0381*** | −0.0058 | −0.0191* | 0.0063 | −0.0154 |
| (0.0052) | (0.0199) | (0.0113) | (0.0120) | (0.0109) | |
| RoWoB | 0.1075 | 0.4963** | 0.3673* | −0.1822 | 0.3024** |
| (0.0833) | (0.1916) | (0.2066) | (0.1691) | (0.1479) | |
| OSS | 0.0006* | 0.0023** | 0.0008 | 0.0002 | 0.0018** |
| (0.0003) | (0.0011) | (0.0013) | (0.0009) | (0.0007) | |
| LIQU | −0.1820*** | −0.2561 | −0.3340 | −0.2534*** | −0.0999 |
| (0.0523) | (0.2885) | (0.2594) | (0.0861) | (0.1531) | |
| BusSize | −0.0103 | −0.0643 | 0.0122 | 0.0126 | −0.0537** |
| (0.0210) | (0.0486) | (0.0554) | (0.0234) | (0.0216) | |
| Leverage | 0.3657*** | 2.0822*** | 0.7405*** | 0.1804* | 0.5820*** |
| (0.0587) | (0.5571) | (0.2597) | (0.0917) | (0.1944) | |
| GDPgrwth | 0.0053 | 0.0008 | 0.0039 | 0.0115** | 0.0030 |
| (0.0034) | (0.0078) | (0.0065) | (0.0052) | (0.0031) | |
| Constant | 0.2022 | −0.7799 | −0.7011 | −0.4126 | 0.4789 |
| (0.3339) | (1.2329) | (1.0656) | (0.4423) | (0.4826) | |
| Hansen test ( | 11.55(0.240) | 3.41(0.492) | 7.45(0.114) | 6.51(0.688) | 9.37(0.154) |
| AR (2) | 0.06 (0.954) | 0.39(0.697) | 0.20(0.843) | 0.43(0.665) | 0.29(0.772) |
| Instruments | 19 | 14 | 14 | 19 | 16 |
| 0.000 | 0.000 | 0.000 | 0.000 | 0.000 | |
| Observations | 136 | 202 | 202 | 202 | 202 |
| Number of firms | 37 | 49 | 49 | 49 | 49 |
Note(s): Standard errors in parentheses
***p < 0.01, **p < 0.05, *p < 0.1
For measurement and description of variables, see Table 1
Source(s): Estimates generated based on data from the audited reports