Table VI Average Controlled Direct...

Table VI

Average Controlled Direct Effect of the Basel III regulation on agricultural lending, de-mediated by bank size

	(1)	(2)	(3)	(4)
Specification	Agricultural loan volume	Δ(Ag Loan)	Ag Loan/Total Loan	Δ(Ag Loan/Total Loan)
Panel A: US agricultural banks
Post Regulation	0.0342*** (0.0053)	−0.0349*** (0.0077)	0.0135*** (0.0014)	−0.0181*** (0.0048)
Bank-fixed effects	Yes	Yes	Yes	Yes
R²	0.190	0.020	0.261	0.019
No. of observation	9,760	9,760	9,760	9,760
Panel B: All US banks
Post Regulation	0.0488*** (0.0079)	−0.0246** (0.011)	0.00663*** (0.0005)	−0.0162* (0.0096)
Bank-fixed effects	Yes	Yes	Yes	Yes
R²	0.023	0.006	0.097	0.004
No. of observation	36,527	36,527	36,527	36,527

	(1)	(2)	(3)	(4)
Specification	Agricultural loan volume	Δ(Ag Loan)	Ag Loan/Total Loan	Δ(Ag Loan/Total Loan)
Panel A: US agricultural banks
Post Regulation	0.0342*** (0.0053)	−0.0349*** (0.0077)	0.0135*** (0.0014)	−0.0181*** (0.0048)
Bank-fixed effects	Yes	Yes	Yes	Yes
R²	0.190	0.020	0.261	0.019
No. of observation	9,760	9,760	9,760	9,760
Panel B: All US banks
Post Regulation	0.0488*** (0.0079)	−0.0246** (0.011)	0.00663*** (0.0005)	−0.0162* (0.0096)
Bank-fixed effects	Yes	Yes	Yes	Yes
R²	0.023	0.006	0.097	0.004
No. of observation	36,527	36,527	36,527	36,527

Notes: This table reports results for ACDE estimates for Equation (1), from December 31, 2008–December 31, 2017. The estimation procedure follows Acharya, Blackwell and Sen (2016). Panels A and B report regression results for US agricultural banks and all US banks, respectively. Following the FDIC definition, any commercial bank with agricultural production loans plus real estate loans secured by farmland exceeding 25 percent of total loans and leases is categorized as an agricultural bank. All regressions include previously discussed control variables and bank-fixed effects. Standard errors are clustered on bank level. *,**,***Significant at 10, 5 and 1 percent levels, respectively

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