Effect of financial constraints on the growth of family and nonfamily firms in Turkey

Financial Innovation

Table 4 GMM Estimation Results

	(4)	(5)	(6)
	Growth _i,t: Main model. Family firm definition: Families are the largest block holders	Growth _i,t: Family firm definition: At least 50% family ownership	Growth _i,t: Family firm definition: At least 20% family ownership
Growth _i,t-1	−0.0853^*	− 0.0754	− 0.0847^*
Growth _i,t-1	(−2.04)	(−1.86)	(−2.13)
Lev _i,t	0.132	0.125	0.123
Lev _i,t	(1.24)	(1.13)	(1.11)
K/A_i,t-1	−0.180	−0.153	−0.152
K/A_i,t-1	(−0.96)	(−0.80)	(− 0.83)
Size_i,t	0.172^***	0.181^***	0.167^***
Size_i,t	(3.77)	(3.84)	(3.68)
Nonfamf_i,t*CF_i,t/K_i,t-1	0.294^*	0.189^*	0.317^*
Nonfamf_i,t*CF_i,t/K_i,t-1	(2.29)	(2.39)	(2.27)
famf_i,t*CF_i,t/K_i,t-1	0.0740	0.0655	0.0549
famf_i,t*CF_i,t/K_i,t-1	(1.62)	(1.21)	(1.23)
Time fixed effects	Yes	Yes	Yes
N	1338	1338	1338
AR(1)	0.00	0.00	0.00
AR(2)	0.12	0.14	0.15
Hansen’s J Test, p val.	0.14	0.33	0.18
Wald Test, p val.	0.00	0.00	0.00

t statistics in parentheses. ^* p < 0.05, ^** p < 0.01, ^*** p < 0.001. All the estimations are based on heteroscedasticity and autocorrelation robust standard error. The lag structure: t-2 to t-4. Coefficients for time dummies are not reported. For each econometric estimation, the number of instruments is less than the number of groups (see Roodman 2009). The variables are defined in Table 2