Table 4 Pooled OLS, fixed and random... | Emerald Publishing

Table 4

Pooled OLS, fixed and random effects regression results

Variable	Model 1 Pooled OLS	Model 2 Fixed effect	Model 3 Random effect	Collinearity statistics Tolerance VIF
Dependent variable: Return of assets (ROA)
C	−11.8677 (0.1326)	−29.040 (0.1420)	−19.461 (0.0721)
Short-term debt	−0.2243* (0.0000)	−0.1747* (0.0003)	−0.1859* (0.0000)	0.561	1.781
Long-term debt	−0.0932 (0.1168)	−0.2255* (0.0008)	−0.1809* (0.0016)	0.377	2.655
Tangibility	−0.0812* (0.0344)	−0.079 (0.0836)	−0.0574 (0.1300)	0.266	3.757
Sales growth	0.0431* (0.0041)	0.0414* (0.0003)	0.0427* (0.00001)	0.932	1.073
Firm size	4.7840* (0.0000)	7.2327* (0.0094)	5.6684* (0.00001)	0.668	1.497
Adjusted R²	0.5500	0.8052	0.3941
F-Statistics	37.4366*	19.1204* (0.0000)	20.3844* (0.0000)
DW-Statistics	0.5814	1.6455	1.3111
Hausman test χ²			4.1505
Sig			(0.5279)
N	150	150	150

Variable	Model 1Pooled OLS	Model 2Fixed effect	Model 3Random effect	Collinearity statisticsTolerance VIF
Dependent variable: Return of assets (ROA)
C	−11.8677 (0.1326)	−29.040 (0.1420)	−19.461 (0.0721)
Short-term debt	−0.2243* (0.0000)	−0.1747* (0.0003)	−0.1859* (0.0000)	0.561	1.781
Long-term debt	−0.0932 (0.1168)	−0.2255* (0.0008)	−0.1809* (0.0016)	0.377	2.655
Tangibility	−0.0812* (0.0344)	−0.079 (0.0836)	−0.0574 (0.1300)	0.266	3.757
Sales growth	0.0431* (0.0041)	0.0414* (0.0003)	0.0427* (0.00001)	0.932	1.073
Firm size	4.7840* (0.0000)	7.2327* (0.0094)	5.6684* (0.00001)	0.668	1.497
Adjusted R²	0.5500	0.8052	0.3941
F-Statistics	37.4366*	19.1204* (0.0000)	20.3844* (0.0000)
DW-Statistics	0.5814	1.6455	1.3111
Hausman test χ²			4.1505
Sig			(0.5279)
N	150	150	150

Note(s): Variables are significant at *p < 0.05 (two-tailed)