Table 9. Covariate balancing analysis...

Table 9.

Covariate balancing analysis (Panel B, radius matching)

	Panel A: Before matching (mean)				Panel B: After radius matching (mean)
	(1)	(2)	(3)	(4)	(5)	(6)	(7)	(8)
Variable	Treated	control	Standardized difference (%)	p-value	Treated	control	Standardized difference (%)	p-value
lnSize	27.298	25.385	89.5***	0.000***	26.855	27.012	−7.3	0.317
Leverage	0.828	0.735	54.2***	0.000***	0.813	0.816	−1.7	0.803
ROE	0.117	0.081	47.8***	0.000***	0.112	0.108	4.2	0.541
lnFirmAge	3.102	3.036	19.1***	0.001***	3.068	3.062	1.6	0.813
SOE	0.585	0.528	11.5*	0.055*	0.588	0.582	1.1	0.874
IndDirRatio	0.376	0.367	19.6***	0.001***	0.375	0.378	−8.9	0.230
lnBoardAgeAvg	4.004	3.965	64.5***	0.000***	3.996	4.001	−7.5	0.261
lnMtgFreq	2.274	2.241	9.6	0.106	2.27	2.303	−9.5	0.171
Duality	0.106	0.104	0.7	0.901	0.107	0.093	4.6	0.495
TopTenHoldersRate	70.183	60.837	51.6***	0.000***	67.246	66.343	5.0	0.455

	Panel A: Before matching (mean)				Panel B: After radius matching (mean)
	(1)	(2)	(3)	(4)	(5)	(6)	(7)	(8)
Variable	Treated	control	Standardized difference (%)	p-value	Treated	control	Standardized difference (%)	p-value
lnSize	27.298	25.385	89.5***	0.000***	26.855	27.012	−7.3	0.317
Leverage	0.828	0.735	54.2***	0.000***	0.813	0.816	−1.7	0.803
ROE	0.117	0.081	47.8***	0.000***	0.112	0.108	4.2	0.541
lnFirmAge	3.102	3.036	19.1***	0.001***	3.068	3.062	1.6	0.813
SOE	0.585	0.528	11.5*	0.055*	0.588	0.582	1.1	0.874
IndDirRatio	0.376	0.367	19.6***	0.001***	0.375	0.378	−8.9	0.230
lnBoardAgeAvg	4.004	3.965	64.5***	0.000***	3.996	4.001	−7.5	0.261
lnMtgFreq	2.274	2.241	9.6	0.106	2.27	2.303	−9.5	0.171
Duality	0.106	0.104	0.7	0.901	0.107	0.093	4.6	0.495
TopTenHoldersRate	70.183	60.837	51.6***	0.000***	67.246	66.343	5.0	0.455

Note(s):

This table reports the covariate balance test for Panel B’s mean-split treatment definition (Treat_Oversea = 1 if the firm’s proportion of overseas-experienced directors exceeds the sample mean and 0 otherwise). The propensity score is estimated by a logistic regression of Treat_Oversea on all baseline control variables and year fixed effects and treated firms are matched to control firms via radius matching with a caliper of 0.01. Columns (1)–(4) report pre-matching means and standardized differences; columns (5)–(8) report the same statistics after matching. After matching, Rubin’s B = 20.1, mean standardized bias = 5.1% and the joint balance test does not reject the null of no systematic difference between treated and control groups (p = 0.584). Significance: *p < 0.10, **p < 0.05, ***p < 0.01

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