Note(s): The table reports regressions of bond issuance spreads on the introduction of bankruptcy courts, considering the effect of the extent of financial market development. The dependent variable is bond issuance spreads (IssueSpread). HFin_Mar_index is a dummy variable that equals 1 for firms in provinces with factor market development index above the provincial median and 0 otherwise. HFin_Credit_index is a dummy variable that equals 1 for firms in provinces with financial resources allocation index above the provincial median and 0 otherwise. Control variables are the same as in Table 6. Other variables are defined as in Table 2. Robust t-statistics are reported in parentheses. *, ** and *** represent statistical significance at the 10, 5 and 1% level, respectively