Skip to main content

Table 8 Regression result of the effects of CSR on the capital structure–alternative proxies of CSR performance

From: Is capital structure associated with corporate social responsibility?

Explanatory variables

Explanatory variables (capital structure)

lev

levab

debt

debtab

lev

levab

debt

debtab

(1)

(2)

(3)

(4)

(1)

(2)

(3)

(4)

csrdummy

-19.45***

-0.121***

-5.080***

-0.147***

    

(-6.18)

(-6.20)

(-7.54)

(-7.06)

    

csrcumu

    

-2.512***

-0.0196***

-0.738***

-0.0265***

    

(-5.04)

(-6.38)

(-6.93)

(-8.03)

asset

11.70***

0.0773***

3.424***

0.0870***

11.66***

0.0782***

3.435***

0.0887***

(24.13)

(25.80)

(32.99)

(27.07)

(23.80)

(25.83)

(32.76)

(27.35)

mtb

4.565***

0.00719***

0.356***

0.00516***

4.568***

0.00729***

0.358***

0.00534***

(24.37)

(6.20)

(8.87)

(4.15)

(24.36)

(6.29)

(8.93)

(4.30)

tang

-0.527***

-0.00386***

-0.131***

-0.00308***

-0.525***

-0.00385***

-0.131***

-0.00307***

(-21.32)

(-25.30)

(-24.82)

(-18.83)

(-21.24)

(-25.23)

(-24.73)

(-18.75)

dep

2.543***

0.0118***

0.482***

0.0116***

2.536***

0.0118***

0.481***

0.0116***

(11.81)

(8.84)

(10.44)

(8.10)

(11.77)

(8.85)

(10.42)

(8.12)

rd

-0.000954***

-0.00000429***

-0.000280***

-0.00000492***

-0.000952***

-0.00000428***

-0.000280***

-0.00000493***

(-4.56)

(-3.32)

(-6.27)

(-3.56)

(-4.56)

(-3.32)

(-6.27)

(-3.56)

insthold

-0.227***

-0.00136***

-0.0617***

-0.00187***

-0.229***

-0.00135***

-0.0618***

-0.00185***

(-7.46)

(-7.22)

(-9.46)

(-9.25)

(-7.50)

(-7.18)

(-9.47)

(-9.17)

dirhold

0.345***

0.00192***

0.0612***

0.00166***

0.344***

0.00191***

0.0609***

0.00165***

(7.91)

(7.14)

(6.57)

(5.76)

(7.89)

(7.11)

(6.53)

(5.72)

pledge

0.293***

0.00242***

0.0878***

0.00259***

0.292***

0.00240***

0.0873***

0.00256***

(8.75)

(11.70)

(12.27)

(11.69)

(8.72)

(11.60)

(12.19)

(11.55)

INDUSTRY dummies

yes

yes

yes

yes

yes

yes

yes

yes

YEAR dummies

yes

yes

yes

yes

yes

yes

yes

yes

constant

-89.68***

-0.679***

-10.40***

-0.690***

-89.12***

-0.693***

-10.60***

-0.717***

(-12.72)

(-15.59)

(-6.89)

(-14.78)

(-12.50)

(-15.72)

(-6.94)

(-15.19)

Num. of obs

18,963

18,963

18,963

18,963

18,963

18,963

18,963

18,963

Adj. R-square

0.079

0.065

0.086

0.057

0.078

0.065

0.086

0.058

Prob. of F-stat

0.000

0.000

0.000

0.000

0.000

0.000

0.000

0.000

  1. This table reports the regression estimation results of the effects of CSR performance ((proxied by the current CSR performance (csrdummy) and cumulative CSR performance CSR (csrcumu)) on the corporate capital structure. The capital structure variables in model (1) ~ (8) are leverage ratio (lev), leverage ratio greater than mean (levab), change in leverage ratio (levdif), change in leverage ratio greater than 0 (levdifd), debt ratio (debt), debt ratio greater than mean (debtab), change in debt ratio (debtdif) and change in debt ratio greater than 0 (debtdifd). The control variables include firm scale (asset), market-to-book ratio (mtb), fixed assets to total assets (tang), depreciation to total assets (dep), R&D expense to net sales (rd), institutional investors’ shareholding (insthold), directors’ shareholding (dirhold), directors’ shareholding pledge ratio (pledge), industry dummies vector (INDUSTRY) and yearly dummies vector (YEAR). The values in brackets are the t-statistics of estimated coefficients (calculated using White's heteroscedasticity consistency robust standard error), and *, **, and *** indicate that the estimated coefficients are significant at the 10%, 5%, and 1% significance levels, respectively
  2. *indicates that the estimated coefficient of the regression is statistically significant at least at the 10% level
  3. **indicate that the estimated coefficient of the regression is statistically significant at least at the 5% level
  4. ***indicate that the estimated coefficient of the regression is statistically significant at least at the 1% level