Table 2.

Direct effect of CCR on CRT

VariableCCR
(1)(2)(3)(4)(5)
TR0.2153*** (3.14)0.2004*** (3.05)0.1651*** (3.12)
IR0.0866*** (3.26)0.0808*** (2.99)0.1031*** (3.1)
0.0774*** (3.1)0.0851*** (3.13)0.0883*** (3.21)
BoGD−0.1128*** (−3.05)−0.1107** (−2.88)
ESG0.1103*** (3.25)0.1113*** (3.47)
Size−0.2228*** (−3.22)
R&D−0.0591** (−2.27)
LEV−0.0539 (−1.19)
MTB−0.0979* (−1.51)
PPE0.0655*** (3.33)
Sargan test statistic (Chi-square, p-value)41.404 (p = 0.0059)40.535 (p = 0.0056)38.218 (p = 0.0061)41.007 (p = 0.0059)40.112 (p = 0.0055)
AR(2) (z, p-value)−0.3442 (p = 0.0289)−0.3115 (p = 0.0301)−0.3371 (p = 0.0329)−0.365 (p = 0.0294)−0.3593 (p = 0.0182)
Wald test for coefficients12.154 (p < 0.01)12.091 (p < 0.01)12.116 (p < 0.01)12.242 (p < 0.01)13.094 (p < 0.01)
Wald test for time dummies16.513 (p < 0.01)16.352 (p < 0.01)17.022 (p < 0.01)16.124 (p < 0.01)17.213 (p < 0.01)
Wald test for industry dummies18.213 (p < 0.01)18.175 (p < 0.01)19.118 (p < 0.01)18.401 (p < 0.01)19.14 (p < 0.01)
Hansen test (Chi-square, p-value)0.5311 (p = 0.2215)0.5145 (p = 0.2301)0.5329 (p = 0.2345)0.5511 (p = 0.2287)0.5371 (p = 0.231)
F test (Fisher, p-value)280.2122 (p < 0.01)268.4014 (p < 0.01)270.114 (p < 0.01)272.2022 (p < 0.01)281.5051 (p < 0.01)
Number of instruments112
YearYes
FirmYes
Observations10,874
Countries34

Note(s):t-Values are in parenthesis. Sargan is a test of overidentification. AR(2) is the Blundell–Bond test for second-order autocorrelation. Hansen is a test of over-identifying restrictions under the null hypothesis that all instruments are correlated with the disturbance process. F is the test of the joint significance of all coefficients. Variables’ definitions figure in the  Appendix. Significance levels are represented by ∗∗∗ (1%), ∗∗ (5%) and ∗ (10%)

Source(s): Author’s own work

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