Table 5 Balance test of variables before...

Table 5

Balance test of variables before and after PSM

		Group		Balance test
Variable	Before/After matching	Treated	Control	Avg bias	Reduction Avg bias (%)
Equity agreements
ROA	Before	−20.214	−18.505	80.958	77.9%
ROA	After	−20.214	−14.442	18.674
Revenues	Before	4.396	4.106	1.983	13.4%
Revenues	After	4.396	3.987	1.718
Efficiency	Before	−0.652	−39.186	1367.042	99.9%
Efficiency	After	−0.652	−0.328	1.762
Leverage	Before	0.397	0.527	0.785	58.6%
Leverage	After	0.397	0.462	0.325
Intangibles	Before	0.353	0.288	0.617	60.1%
Intangibles	After	0.353	0.355	0.246
Size	Before	5.810	5.550	94.620	99.2%
Size	After	5.810	5.482	0.790
Age	Before	1.539	3.083	3.032	55.9%
Age	After	1.539	1.294	1.336
Customer	Before	1.989	1.863	1.179	17.9%
Customer	After	1.989	2.012	0.968
Product	Before	1.806	1.827	0.771	27.8%
Product	After	1.806	1.759	0.557
Contractual agreements
ROA	Before	−18.728	−24.036	83.988	77%
ROA	After	−18.728	−19.870	19.313
Revenues	Before	3.430	4.350	1.972	6%
Revenues	After	3.430	3.720	1.854
Efficiency	Before	−1.022	−59.770	1360.272	99.9%
Efficiency	After	−1.022	−0.429	2.009
Leverage	Before	0.405	0.572	0.829	34.6%
Leverage	After	0.405	0.495	0.542
Intangibles	Before	0.264	0.349	1.177	3.7%
Intangibles	After	0.264	0.374	1.134
Size	Before	5.403	5.571	0.847	7.3%
Size	After	5.403	5.365	0.785
Age	Before	1.863	3.204	2.944	29.5%
Age	After	1.863	2.068	2.075
Customer	Before	1.843	1.991	1.169	15.1%
Customer	After	1.843	1.935	0.993
Product	Before	1.568	1.743	0.773	3.6%
Product	After	1.568	1.748	0.745

		Group		Balance test
Variable	Before/After matching	Treated	Control	Avg bias	Reduction Avg bias (%)
Equity agreements
ROA	Before	−20.214	−18.505	80.958	77.9%
ROA	After	−20.214	−14.442	18.674
Revenues	Before	4.396	4.106	1.983	13.4%
Revenues	After	4.396	3.987	1.718
Efficiency	Before	−0.652	−39.186	1367.042	99.9%
Efficiency	After	−0.652	−0.328	1.762
Leverage	Before	0.397	0.527	0.785	58.6%
Leverage	After	0.397	0.462	0.325
Intangibles	Before	0.353	0.288	0.617	60.1%
Intangibles	After	0.353	0.355	0.246
Size	Before	5.810	5.550	94.620	99.2%
Size	After	5.810	5.482	0.790
Age	Before	1.539	3.083	3.032	55.9%
Age	After	1.539	1.294	1.336
Customer	Before	1.989	1.863	1.179	17.9%
Customer	After	1.989	2.012	0.968
Product	Before	1.806	1.827	0.771	27.8%
Product	After	1.806	1.759	0.557
Contractual agreements
ROA	Before	−18.728	−24.036	83.988	77%
ROA	After	−18.728	−19.870	19.313
Revenues	Before	3.430	4.350	1.972	6%
Revenues	After	3.430	3.720	1.854
Efficiency	Before	−1.022	−59.770	1360.272	99.9%
Efficiency	After	−1.022	−0.429	2.009
Leverage	Before	0.405	0.572	0.829	34.6%
Leverage	After	0.405	0.495	0.542
Intangibles	Before	0.264	0.349	1.177	3.7%
Intangibles	After	0.264	0.374	1.134
Size	Before	5.403	5.571	0.847	7.3%
Size	After	5.403	5.365	0.785
Age	Before	1.863	3.204	2.944	29.5%
Age	After	1.863	2.068	2.075
Customer	Before	1.843	1.991	1.169	15.1%
Customer	After	1.843	1.935	0.993
Product	Before	1.568	1.743	0.773	3.6%
Product	After	1.568	1.748	0.745

Note(s): Results for equity agreements represents the average value of the statistics computed through PSM in the years 2009 and from 2013 to 2020. Results for contractual agreements represent the average value of the statistics computed through PSM in the years 2013 and from 2015 to 2021

Source(s): Table was created by the authors

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