Table 5.

Moderating role of financial constraints on MAS–crash risk nexus (H2)

Managerial ability and financial constraints interactions
Dependent variables
VariablesDUVOLt+1NCSKEWt+1
Constant−0.572 (−0.064)−3.294 (−1.689)
MAS−0.829*** (−5.017)−1.584*** (−6.117)
FC0.002 (0.157)0.043** (2.120)
MAS×FC0.509*** (8.204)0.422*** (4.714)
SIGMA−1.647 (−0.190)49.174* (3.467)
RET−20.104 (−1.318)−90.404*** (−3.711)
SIZE−0.032 (−1.636)0.044 (1.474)
ROA0.328*** (2.721)−0.095 (−0.491)
LEV0.898*** (4.642)0.192 (0.618)
MTB0.013 (0.699)0.007 (0.240)
Adjusted R20.4090.287
Observation480480
Robust standard errorsYesYes
Year fixed effectYesYes
Industry fixed effectYesYes

Notes:

The significance levels are denoted as *, ** and ***at 10, 5 and 1%, respectively. t-Statistics in parentheses

Source: Authors’ own work

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