# Table 4: **Human Capital and Star Status**

This table reports estimates from the following panel regression model: _ROIC_<sup>_T OT_</sup> Star is a dummy variable that takes the value 1 if the firm _i_ s _ROIC_<sup>_T OT_</sup> is above the 90th percentile of _ROIC_<sup>_T OT_</sup> across all firms in a particular year _t_ and 0 otherwise. Log(Assets) is the logarithm of total assets. HHI is Herfindahl Index of market share in each 3-digit NAICS industry in each year. _Markups_<sup>_T OT_</sup> are based on the estimation in De Loecker and Eeckhout (2017) using operating expenses as a variable input of production and include correction for intangible capital. Market Share is the ratio of the firm _i_ s sales to total industry _j_ s sales in a particular year. Skill is industry-level measure of routine manual skills (RMAN) in columns 1-4, complex problem solving skills (COMPLEXPS) in columns 5-8 and non-routine cognitive analytical skills (NRCOG) in columns 9-12. All regressions include industry and year fixed effects and are estimated using ordinary least squares with standard errors clustered at the firm level. Panel B presents generalized quantile regressions of models 2,6, and 10 of panel A for the 25<sup>_th_</sup> , 50<sup>_th_</sup> , 75<sup>_th_</sup> , and 90<sup>_th_</sup> quantile of _ROIC_<sup>_T OT_</sup> . Detailed variable definitions are in the Appendix. (<sup>_∗∗∗_</sup> ) _,_ (<sup>_∗∗_</sup> ) _,_ (<sup>_∗_</sup> ) denote statistical significance at 1%, 5%, and 10% levels respectively.

||(1)|(2)|(3)|(4)|(5)|(6)|(7)|(8)|(9)|(10)|(11)|(12)|
|---|---|---|---|---|---|---|---|---|---|---|---|---|
||_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|_ROIC_<sup>_TOT_</sup>|
||Star|Star|Star|Star|Star|Star|Star|Star|Star|Star|Star|Star|
|Skill||RM|AN|||C|PS|||NR|COG||
|Log(Assets)|0.020***|0.017***|0.017***|0.017***|0.014***|0.017***|0.017***|0.017***|0.018***|0.017***|0.017***|0.017***|
||(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|(0.002)|
|Log(Age)|-0.069***|-0.069***|-0.069***|-0.070***|-0.069***|-0.070***|-0.070***|-0.070***|-0.069***|-0.070***|-0.070***|-0.070***|
||(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|(0.004)|
|HHI|0.034|0.036|0.363*|0.034|0.036|0.038|0.021|0.037|0.040|0.035|-0.096|0.037|
||(0.080)|(0.080)|(0.207)|(0.080)|(0.081)|(0.081)|(0.082)|(0.083)|(0.081)|(0.080)|(0.143)|(0.082)|
|Market Share|-0.058|-0.122|-0.126|0.017|-0.037|-0.109|-0.110|-0.111|-0.078|-0.107|-0.106|-0.138|
||(0.108)|(0.104)|(0.103)|(0.197)|(0.105)|(0.104)|(0.104)|(0.106)|(0.104)|(0.105)|(0.105)|(0.162)|
|Markups|0.122***|0.129***|0.124***|0.125***|0.123***|0.115***|0.125***|0.125***|0.122***|0.126***|0.126***|0.125***|
||(0.012)|(0.012)|(0.012)|(0.012)|(0.012)|(0.014)|(0.012)|(0.012)|(0.012)|(0.012)|(0.012)|(0.012)|
|Log(Assets) x Skill|-0.009***||||0.008***||||0.006*||||
||(0.002)||||(0.003)||||(0.003)||||
|Markups x Skill||-0.024*||||0.019*||||-0.009|||
|||(0.013)||||(0.012)||||(0.016)|||
|HHI x Skill|||-0.466*||||-0.095||||-0.216||
||||(0.238)||||(0.181)||||(0.210)||
|Market Share x Skill||||-0.212||||-0.005||||-0.062|
|||||(0.234)||||(0.303)||||(0.335)|
|N|42355|42355|42355|42355|42355|42355|42355|42355|42355|42355|42355|42355|
|Adj. R-sq|0.070|0.069|0.070|0.069|0.070|0.069|0.069|0.069|0.069|0.069|0.069|0.069|
|Fixed Efects|——|———Industr|y, Year———|—–—|——|———Industr|y, Year———|—–—|——|———Industr|y, Year———|—–—|