FINANCE Corporate financial policy and R and D Management

The Model 103

TABLE 6.2 (Continued)

1996 1997 1998 1999

Variable Coeff T-Stat Coeff T-Stat Coeff T-Stat Coeff T-Stat

Intercept 0.14 7.67 0.043 3.07 0.145 15.64 0.13 14.52
PKL –0.08 –2.33 0.017 0.44 –0.01 –1.32 –0.046 –2.36
CAK –0.077 –2.79 0.001 0.14 –0.096 –5.71 –0.003 –0.65
D2sales 0.019 0.53 –0.056 –2.07 –0.063 –3.27 –0.14 –8.26
DS –0.033 –0.12 –0.797 –3.64 –0.094 –1.25 –0.326 –1.65
FS 0.38 11.83 1.139 68.36 0.11 12.91 0.227 20.69
F-Statistic 32.84 941.18 44.15 98.16
Adj R2 0.09 0.74 0.11 0.21

2000 2001 2002

Variable Coeff T-Stat Coeff T-Stat Coeff T-Stat

Intercept 0.094 14.29 0.075 15.2 0.074 19.21
PKL –0.015 –3.22 0.003 0.26 –0.002 –0.39
CAK –0.03 –3.07 –0.005 –1.61 –0.012 –2.93
D2sales 0.037 2.71 0.044 4.34 0.001 0.22
DS –0.133 –0.9 –0.018 –0.14 0.105 1.01
FS 0.165 12.76 0.201 12.48 0.019 3.44
F-Statistic 38.46 39.47 4.29
Adj R2 0.09 0.09 0.01

TABLE 6.3 Financing Equation OLS

1952 1953 1954 1955

Variable Coeff T-Stat Coeff T-Stat Coeff T-Stat Coeff T-Stat

Intercept 0.012 1.74 0.013 2.57 0.016 1.46 0.007 0.69
DE 0 1.28 0 –1.22 0.004 1.78 0 –0.18
INTE 0.031 0.56 –0.013 –0.34 –0.018 –0.2 0.092 0.81
DEPK –0.096 –1.19 –0.073 –1.22 –0.172 –1.29 –0.066 –0.6
PK 0.014 0.93 0.01 0.87 0.02 0.69 0.055 2.31
DS 0.314 2.75 0.259 2.89 0.409 2.41 0.187 1.43
IS 0.209 4.81 0.205 5.99 0.264 3.86 0.236 4.74
F-Statistic 8.03 13.91 5.93 5.67
Adj R2 0.21 0.33 0.16 0.14

(Continued)