Table 9 Findings of Investment equation with an alternative proxy of investment for high growth and low growth firms
From: Debt choice, growth opportunities and corporate investment: evidence from China
Dependent Variable: INVST2 (alternative proxy of investment) | ||||||
|---|---|---|---|---|---|---|
High Growth | Low Growth | High Growth | Low Growth | |||
(1) | (2) | (3) | (4) | (5) | (6) | |
Variables | DIFF GMM | SYS GMM | ||||
INVST2t-1 | 0.113*** | 0.117*** | 0.119*** | 0.0982*** | 0.102*** | 0.104*** |
(0.0208) | (0.0206) | (0.0206) | (0.0194) | (0.0192) | (0.0192) | |
LEVt-1 | −0.0157 | − 0.0226 | − 0.0247 | −0.0205* | − 0.0268* | − 0.0291* |
(0.0158) | (0.0159) | (0.0161) | (0.0153) | (0.0155) | (0.0157) | |
GTH t-1 | 0.00965*** | 0.00938*** | ||||
(0.00137) | (0.00134) | |||||
LEVt-1* HGTH t-1 | 0.0247*** | 0.0256*** | ||||
(0.00465) | (0.00456) | |||||
LEV t-1* LGTH t-1 | −0.0225*** | −0.0228*** | ||||
(0.00450) | (0.00440) | |||||
ROA t-1 | −0.0911*** | −0.0904*** | − 0.0924*** | −0.0953*** | − 0.0938*** | −0.0959*** |
(0.0283) | (0.0291) | (0.0290) | (0.0278) | (0.0286) | (0.0286) | |
TG t-1 | −0.686*** | −0.679*** | − 0.682*** | −0.663*** | − 0.655*** | −0.658*** |
(0.0250) | (0.0258) | (0.0257) | (0.0234) | (0.0240) | (0.0239) | |
CFLOW t-1 | 0.0570*** | 0.0629*** | 0.0620*** | 0.0546*** | 0.0606*** | 0.0598*** |
(0.0122) | (0.0123) | (0.0123) | (0.0120) | (0.0121) | (0.0121) | |
CASH t-1 | −0.132*** | −0.134*** | − 0.137*** | − 0.130*** | − 0.131*** | − 0.135*** |
(0.0181) | (0.0183) | (0.0183) | (0.0176) | (0.0178) | (0.0178) | |
BSIZE t-1 | −0.00132 | − 0.00128 | − 0.00129 | − 0.00166 | − 0.00156 | − 0.00157 |
(0.00115) | (0.00115) | (0.00115) | (0.00112) | (0.00112) | (0.00112) | |
CEODUA t-1 | −0.00147 | −0.00145 | − 0.00156 | −0.000950 | − 0.00108 | − 0.00123 |
(0.00343) | (0.00343) | (0.00344) | (0.00335) | (0.00335) | (0.00336) | |
INDBOARD t-1 | −0.00885 | − 0.00981 | − 0.0101 | − 0.0115 | − 0.0126 | − 0.0127 |
(0.0267) | (0.0270) | (0.0270) | (0.0264) | (0.0267) | (0.0267) | |
Constant | 0.228*** | 0.238*** | 0.258*** | 0.227*** | 0.236*** | 0.258*** |
(0.0219) | (0.0217) | (0.0218) | (0.0214) | (0.0211) | (0.0213) | |
Year | Yes | Yes | Yes | Yes | Yes | Yes |
Observations | 5954 | 5954 | 5954 | 7684 | 7684 | 7684 |
AR(1) | −12.11*** | −12.26*** | −12.28*** | −12.2*** | −12.32*** | −12.34*** |
AR(2) | 0.12 | −0.029 | −0.015 | −0.52 | − 0.66 | −0.63 |
Sargan (p-value) | 0.33 | 0.12 | 0.23 | 0.16 | 0.067 | 0.13 |