# **Table 7. Difference-in-Differences Equity Issuance Estimates: Alternative Specifications**

This table shows difference-in-differences (DiD) regressions comparing equity issuances by connected and unconnected firms in the full sample (left-side panels) and in the propensity score matched (PSM) sample (right-side panels). The table shows regression results obtained by estimating Equation (1) using six different specifications. The first column includes lagged assets and sales growth as controls. The second column controls for the proceeds from bond issuances per firm and year over 2012 assets. The third column excludes firms with stocks available for margin trading. The fourth column shows results after excluding firms with stocks bought by the Chinese authorities. The fifth colum excludes financial firms. The sixth column uses the log of equity raised as dependent variable. Columns 1-5 use the amount of equity raised over 2012 as the dependent variable. The table shows the DiD coefficients, which estimate, for each year, the average differences in equity raised across groups of firms (relative to the 2012 differences). The 2012 coefficient shows the differences in 2012. The regressions include year fixed effects. Standard errors are clustered at the industry (two-digit SIC) level. ∗, ∗∗, and ∗∗∗ indicate statistical significance at the 10%, 5%, and 1% levels, respectively.

|Sample:|||Full Sa|mple<br>|||||PSM S|ample<br>|||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
||Controllin for|Controllin||Excludin||Ln (1 +|Controllin|Controllin||Excludin||Ln (1 + Euit|
||g|g|Excludin|g|||g|g|Excludin|g|Excludin|qy|
|Robustness:|Lagged Assets<br>and Sales<br>Growth<br>f|or Debt-Time<br>Issuance<br>Trends|<br>g<br>Margin<br>Trading Firms|<br>Government<br>Intervened<br>Firms|Excluding<br>Financial Firms|Equity Raised)<br>as Dependent<br>Variable|for Lagged<br>Assets and<br>Sales Growth<br>f|or Debt-Time<br>Issuance<br>Trends|g<br>Margin<br>Trading Firms<br>|Government<br>Intervened<br>Firms|g<br>Financial<br>Firms|Raised) as<br>Dependent<br>Variable|
||(1)|(2)|(3)|(4)|(5)|(6)|(1)|(2)|(3)|(4)|(5)|(6)|
|Y_2005 x Treated|-0.002|0.002|0.005|0.008 *|0.001|-0.339 **|0.002|0.000|0.000|0.001|0.001|0.003|
||[0.00]|[0.00]|[0.00]|[0.00]|[0.00]|[0.17]|[0.00]|[0.00]|[0.00]|[0.00]|[0.00]|[0.16]|
|Y_2006 x Treated|0.004|0.003|0.005|0.008 *|0.002|-0.129|0.008|0.000|-0.001|0.000|0.001|0.036|
||[0.00]|[0.00]|[0.00]|[0.00]|[0.00]|[0.17]|[0.01]|[0.00]|[0.00]|[0.00]|[0.00]|[0.16]|
|Y_2007 x Treated|0.003|0.003|0.006|0.009 *|0.002|0.035|0.011 *|0.001|0.000|0.000|0.001|0.182|
||[0.00]|[0.00]|[0.00]|[0.01]|[0.00]|[0.21]|[0.01]|[0.00]|[0.00]|[0.00]|[0.00]|[0.19]|
|Y_2008 x Treated|0.004|0.003|0.006|0.010 **|0.002|-0.012|0.009 **|0.001|0.002|0.002|0.002|0.136|
||[0.00]|[0.00]|[0.00]|[0.00]|[0.00]|[0.21]|[0.00]|[0.00]|[0.00]|[0.01]|[0.00]|[0.21]|
|Y_2009 x Treated|0.004|0.002|0.002|0.007 *|0.001|-0.065|0.003|-0.001|-0.002|0.000|0.000|-0.109|
||[0.00]|[0.00]|[0.00]|[0.00]|[0.00]|[0.21]|[0.00]|[0.00]|[0.00]|[0.00]|[0.00]|[0.23]|
|Y_2010 x Treated|0.008|0.005|0.005|0.011 *|0.005|0.247|0.009 *|0.004|0.002|0.004|0.004|0.244|
||[0.00]|[0.00]|[0.01]|[0.01]|[0.00]|[0.23]|[0.00]|[0.00]|[0.00]|[0.01]|[0.00]|[0.29]|
|Y_2011 x Treated|0.006 *|0.006|0.005|0.015 **|0.004|0.158|0.009 **|0.005|0.001|0.008|0.005|0.292|
||[0.00]|[0.00]|[0.01]|[0.01]|[0.00]|[0.21]|[0.00]|[0.00]|[0.00]|[0.01]|[0.00]|[0.33]|
|Treated (2012 Diff.)|-0.006|-0.004|-0.009|-0.012 **|-0.003|0.347 **|-0.013 **|-0.003|-0.004|-0.005|-0.005|0.002|
||[0.00]|[0.00]|[0.01]|[0.01]|[0.00]|[0.17]|[0.00]|[0.00]|[0.00]|[0.01]|[0.00]|[0.16]|
|Y_2013 x Treated|0.002|0.003|0.017|0.022 *|0.000|0.513 *|0.021|0.026|0.022|0.017|0.021|1.336 ***|
||[0.01]|[0.01]|[0.01]|[0.01]|[0.01]|[0.30]|[0.02]|[0.02]|[0.02]|[0.02]|[0.02]|[0.37]|
|Y_2014 x Treated|0.001|0.000|0.014|0.008|-0.002|0.816 **|0.025 *|0.032 **|0.039 **|0.028|0.032 **|1.692 ***|
||[0.01]|[0.01]|[0.01]|[0.02]|[0.01]|[0.35]|[0.01]|[0.01]|[0.02]|[0.02]|[0.01]|[0.50]|
|Y_2015 x Treated|0.043 ***|0.041 ***|0.068 ***|0.059 ***|0.038 ***|1.779 ***|0.070 ***|0.078 ***|0.076 ***|0.065 ***|0.072 ***|3.077 ***|
||[0.01]|[0.01]|[0.01]|[0.02]|[0.01]|[0.41]|[0.02]|[0.01]|[0.02]|[0.02]|[0.02]|[0.50]|
|Y_2016 x Treated|0.070 ***|0.067 ***|0.187 ***|0.139 ***|0.056 **|1.253 ***|0.175 ***|0.178 ***|0.232 ***|0.233 ***|0.186 ***|2.231 ***|
||[0.02]|[0.02]|[0.04]|[0.05]|[0.02]|[0.43]|[0.05]|[0.05]|[0.06]|[0.06]|[0.05]|[0.51]|
|Y_2017 x Treated|0.032 **|0.027 **|0.065 ***|0.060 ***|0.019|0.844 **|0.082 ***|0.084 ***|0.082 **|0.086 **|0.073 **|1.512 **|
||[0.01]|[0.01]|[0.02]|[0.02]|[0.01]|[0.35]|[0.03]|[0.03]|[0.03]|[0.04]|[0.03]|[0.59]|
|Y_2018 x Treated|0.034 ***|0.022 ***|0.056 ***|0.059 **|0.025 ***|0.257|0.062 ***|0.054 **|0.049 ***|0.051 **|0.061 **|0.818 **|
||[0.01]|[0.01]|[0.02]|[0.02]|[0.01]|[0.20]|[0.02]|[0.02]|[0.02]|[0.03]|[0.02]|[0.32]|
|Y_2019 x Treated|0.020 ***|0.013 **|0.021 ***|0.017 *|0.012 **|-0.214|0.034 ***|0.031 ***|0.033 ***|0.018 *|0.031 ***|0.342|
||[0.01]|[0.01]|[0.01]|[0.01]|[0.01]|[0.24]|[0.01]|[0.01]|[0.01]|[0.01]|[0.01]|[0.29]|
|Y_2020 x Treated|0.023 ***|0.015 ***|0.020 ***|0.024 ***|0.012 ***|0.157|0.022 ***|0.017 ***|0.022 ***|0.021 **|0.017 ***|0.361 *|
||[0.00]|[0.00]|[0.01]|[0.01]|[0.00]|[0.23]|[0.01]|[0.01]|[0.01]|[0.01]|[0.01]|[0.21]|
|No. of observations|27,968|31,712|19,408|15,440|31,008|31,952|16,800|16,800|13,312|10,336|16,768|16,928|
|No. of clusters|66|66|65|58|60|66|58|58|58|54|56|58|