Table 6 2SLS estimates with both firm... | Emerald Publishing

Table 6

2SLS estimates with both firm and year fixed effects

	First-stage regression	Second-stage regression
Variables	Audit committee independence as dependent variable	(1)ESG_SCORE	(2)ESG_COMB	(3)ESG_EVE
AC_MGT	11.4520*** (3.539)
AC_IND		0.0156*** (3.136)	0.0149*** (2.636)	0.0175*** (3.234)
${G E N D}_{}$	−0.0453 (−0.710)	0.0036*** (3.067)	0.0040*** (3.305)	0.0040*** (3.201)
${C E O D}_{}$	0.5214 (0.220)	−0.1659** (−2.177)	−0.1729** (−2.331)	−0.1978** (−2.263)
${P O L}_{}$	−5.2737 (−1.368)	0.1287 (1.633)	0.1483* (1.880)	0.1203 (1.424)
${T A}_{}$	5.2444*** (3.472)	0.0783** (2.002)	0.0916** (2.146)	0.0835** (1.974)
${C E O M}_{}$	2.1376 (1.135)	−0.0515 (−1.261)	−0.0173 (−0.344)	−0.0604 (−1.435)
${B T E N}_{}$	1.3787*** (3.907)	−0.0111 (−0.976)	−0.0128 (−1.046)	−0.0148 (−1.170)
${A T E N}_{}$	−0.1504 (−0.539)	−0.0028 (−0.558)	0.0013 (0.180)	−0.0036 (−0.648)
Firm fixed effects	Yes	Yes	Yes	Yes
Year fixed effects	Yes	Yes	Yes	Yes
Observations	1,156	1,156	1,156	1,156
Number of firms	261	261	261	261
First-stage F-test of excluded instruments	12.53
Endogeneity test (chi-stat)		10.847***	7.020***	11.769***
Cragg–Donald Wald F-statistic		29.32	29.32	29.32
Second-stage F-statistic		19.65	15.24	19.66

	First-stage regression	Second-stage regression
Variables	Audit committee independence as dependent variable	(1)ESG_SCORE	(2)ESG_COMB	(3)ESG_EVE
AC_MGT	11.4520*** (3.539)
AC_IND		0.0156*** (3.136)	0.0149*** (2.636)	0.0175*** (3.234)
${G E N D}_{}$	−0.0453 (−0.710)	0.0036*** (3.067)	0.0040*** (3.305)	0.0040*** (3.201)
${C E O D}_{}$	0.5214 (0.220)	−0.1659** (−2.177)	−0.1729** (−2.331)	−0.1978** (−2.263)
${P O L}_{}$	−5.2737 (−1.368)	0.1287 (1.633)	0.1483* (1.880)	0.1203 (1.424)
${T A}_{}$	5.2444*** (3.472)	0.0783** (2.002)	0.0916** (2.146)	0.0835** (1.974)
${C E O M}_{}$	2.1376 (1.135)	−0.0515 (−1.261)	−0.0173 (−0.344)	−0.0604 (−1.435)
${B T E N}_{}$	1.3787*** (3.907)	−0.0111 (−0.976)	−0.0128 (−1.046)	−0.0148 (−1.170)
${A T E N}_{}$	−0.1504 (−0.539)	−0.0028 (−0.558)	0.0013 (0.180)	−0.0036 (−0.648)
Firm fixed effects	Yes	Yes	Yes	Yes
Year fixed effects	Yes	Yes	Yes	Yes
Observations	1,156	1,156	1,156	1,156
Number of firms	261	261	261	261
First-stage F-test of excluded instruments	12.53
Endogeneity test (chi-stat)		10.847***	7.020***	11.769***
Cragg–Donald Wald F-statistic		29.32	29.32	29.32
Second-stage F-statistic		19.65	15.24	19.66

Note(s): Robust z-statistics in parentheses. *, ** and *** represent significant at the 10, 5 and 1% level, respectively

Source(s): Authors’ own work