Table 9.

Two-stage least squares regression results of managerial ability (MAbility) and IPR-A effect on R&D (RDIntensity)

Panel A: All firmsPanel B: Mature firmsPanel C: Young firms
(1)(2)(3)(4)(5)(6)(7)(8)(9)
IPR-ARDIntensityRDIntensityIPR-ARDIntensityRDIntensityIPR-ARDIntensityRDIntensity
VariablesFirst stageSecond stageFirst stageSecond stageFirst stageSecond stage
IQ0.0786*** (0.000)  0.0864*** (0.000)  0.0731*** (0.000)  
MAbility −0.773 (0.594)−3.678 (0.056) −0.674 (0.626)−1.161 (0.514) −2.551 (0.288)−7.397* (0.025)
IPR-A −0.687* (0.014)−1.406** (0.003) −0.200 (0.518)−0.325 (0.492) −1.120* (0.015)−2.293** (0.007)
MAbility × IPR-A  0.531* (0.019)  0.0930 (0.655)  0.860* (0.038)
TobinQ−0.00213 (0.096)0.0198 (0.496)0.0171 (0.556)−0.0122*** (0.000)0.260*** (0.000)0.259*** (0.000)−0.00174 (0.225)−0.0232 (0.533)−0.0262 (0.482)
Tangibility−0.143** (0.001)0.340 (0.736)0.495 (0.623)−0.166** (0.006)0.346 (0.743)0.376 (0.721)−0.0896 (0.149)0.537 (0.742)0.698 (0.668)
AdvIntensity−0.00264* (0.014)1.189*** (0.000)1.188*** (0.000)−0.00399 (0.073)1.743*** (0.000)1.742*** (0.000)−0.00224 (0.070)1.057*** (0.000)1.057*** (0.000)
Leverage0.102** (0.005)−2.724*** (0.001)−2.777*** (0.001)0.204*** (0.000)0.159 (0.866)0.150 (0.873)0.00980 (0.837)−3.738** (0.003)−3.815** (0.002)
ROA0.0491*** (0.000)−1.166*** (0.000)−1.181*** (0.000)0.0943*** (0.000)0.972** (0.005)0.968** (0.005)0.0240 (0.094)−1.983*** (0.000)−2.009*** (0.000)
Age0.103*** (0.000)0.157 (0.748)0.0991 (0.839)      
GDP−0.0414*** (0.000)−0.321* (0.036)−0.300* (0.049)−0.0816*** (0.000)−0.0876 (0.662)−0.0780 (0.693)−0.0179* (0.032)−0.483* (0.027)−0.473* (0.030)
Inflation0.0154* (0.019)−0.0394 (0.791)−0.0941 (0.529)0.0677*** (0.000)−0.130 (0.418)−0.145 (0.369)−0.00690 (0.462)−0.0940 (0.699)−0.151 (0.532)
Constant−0.745*** (0.000)5.810* (0.019)9.824** (0.004)−0.948*** (0.000)1.219 (0.649)1.858 (0.580)−0.346** (0.007)10.68** (0.002)17.32** (0.001)
Year effectYesYesYesYesYesYesYesYesYes
Country effectYesYesYesYesYesYesYesYesYes
N2,6602,6602,6601,3291,3291,3291,3311,3311,331
R-sq0.8260.5080.5070.8620.6330.6330.8040.4900.489
adj. R-sq0.8250.5040.5030.8600.6280.6280.8020.4830.482
F/Wald Chi2698.9***2,749.19***2,749.66***482.0***2,295.47***2,295.43***317.6***1,287.8***1,286.87***

Notes:

This table presents the 2SLS/IV results of MAbility, IPR-A, the interaction between MAbility and IPR-A, and control variables on RDIntensity for 2011 to 2020. Year dummies are not reported for brevity. P-values are reported in parentheses. The statistical significance is denoted as *p < 0.05, **p < 0.01 and ***p < 0.001, respectively. Refer Table 2 for variable definitions

Source: Table by authors

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