Table 1 Does ESG score matter on capital...

Table 1

Does ESG score matter on capital structure puzzle?

	Dependent variable: MLEV
	Interaction with COV
	(1)		(2)
ESGS x COV			−0.007	(0.012)
ESGS	0.051^***	(0.017)	0.056^***	(0.017)
COV	0.023^***	(0.008)	0.007	(0.019)
SIZE	0.058^***	(0.007)	0.015^***	(0.007)
TAN	0.151^***	(0.033)	0.120^***	(0.033)
MBR	−0.006^**	(0.003)	−0.011^**	(0.003)
EBIT	−0.344^***	(0.045)	−0.359^***	(0.045)
CASH	−0.188^***	(0.046)	−0.198^***	(0.046)
DIV	−0.111	(0.079)	−0.130^*	(0.079)
IM_MLEV	0.409^***	(0.082)	0.562^***	(0.082)
Constant	−0.830^***	(0.123)	−0.103^*	(0.123)
R²	0.828		0.829
Hausman test	73.47^***		66.20^***
Firms	205		205
Observations	1,528		1,528

	Dependent variable: MLEV
	Interaction with COV
	(1)		(2)
ESGS x COV			−0.007	(0.012)
ESGS	0.051^***	(0.017)	0.056^***	(0.017)
COV	0.023^***	(0.008)	0.007	(0.019)
SIZE	0.058^***	(0.007)	0.015^***	(0.007)
TAN	0.151^***	(0.033)	0.120^***	(0.033)
MBR	−0.006^**	(0.003)	−0.011^**	(0.003)
EBIT	−0.344^***	(0.045)	−0.359^***	(0.045)
CASH	−0.188^***	(0.046)	−0.198^***	(0.046)
DIV	−0.111	(0.079)	−0.130^*	(0.079)
IM_MLEV	0.409^***	(0.082)	0.562^***	(0.082)
Constant	−0.830^***	(0.123)	−0.103^*	(0.123)
R²	0.828		0.829
Hausman test	73.47^***		66.20^***
Firms	205		205
Observations	1,528		1,528

Note(s): This table reports the regression results examining the determinants of market leverage (MLEV) for ESG-certified firms. Firm FE included in all models. Variables are defined in Table A2. ^*** and ^** signify significance at 1 and 5%

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