Table 7 Results of the causal study in... | Emerald Publishing

Table 7

Results of the causal study in the sense of Granger

Variable	DPO		DA
Variable	Coefficient	t-statistic	Coefficient	t-statistic
DA (−1)	29.166^*	1.811	0.130	0.773
DPO (−1)	−0.392^**	−2.493	0.010^**	1.999
DEBT	0.910	0.233	0.015	0.658
SIZE	−2.040	−1.018	0.000	0.982
GROW	0.485^*	1.670	0.006^***	2.733
CFO	−5.678	−1.087	0.179^***	2.710
RSQ	0.015^*	1.679	−0.000	−1.288
ACEXP	0.000	0.131	0.000	0.563
ACIND	−0.013	−0.499	0.000	1.027
NUMB	−0.029	−0.361	−0.000	−0.646
Hansen j-test (p-value)^a	3.632 (0.979)		8.279 (0.688)
AR(2) test (p-value)^b	−0.995 (0.319)		−0.941 (0.346)

Variable	DPO		DA
Variable	Coefficient	t-statistic	Coefficient	t-statistic
DA (−1)	29.166^*	1.811	0.130	0.773
DPO (−1)	−0.392^**	−2.493	0.010^**	1.999
DEBT	0.910	0.233	0.015	0.658
SIZE	−2.040	−1.018	0.000	0.982
GROW	0.485^*	1.670	0.006^***	2.733
CFO	−5.678	−1.087	0.179^***	2.710
RSQ	0.015^*	1.679	−0.000	−1.288
ACEXP	0.000	0.131	0.000	0.563
ACIND	−0.013	−0.499	0.000	1.027
NUMB	−0.029	−0.361	−0.000	−0.646
Hansen j-test (p-value)^a	3.632 (0.979)		8.279 (0.688)
AR(2) test (p-value)^b	−0.995 (0.319)		−0.941 (0.346)

Note(s): *Significance at 10% level; **significance at 5% level and ***significance at 1% level

^aH0: The instruments are valid

^bH0: Absence of order 2 autocorrelation between the variables and the error term

Source(s): Own elaboration