Panel B: Industry Adjusted Cost Flexibility and Demand Uncertainty

Industry adjusted

cost flexibility (β1)

Industry adjusted demand uncertainty

Industry

String firms

Non- string firms

Difference

String firms

Non- string firms

Difference

Consumer Durables

0.17

−0.03

0.20

***

−0.05

0.05

−0.10

***

Wholesale, Retail, and Some Services

0.08

−0.03

0.11

***

−0.05

0.05

−0.10

***

Consumer NonDurables

0.13

−0.03

0.17

***

−0.05

0.05

−0.10

***

Manufacturing

0.12

−0.04

0.16

***

−0.05

0.04

−0.10

***

Chemicals and Allied Products

0.22

−0.04

0.26

***

−0.07

0.06

−0.13

***

Other

0.20

−0.04

0.24

***

−0.10

0.05

−0.15

***

Telephone and Television Transmission

0.19

−0.01

0.20

***

−0.07

0.04

−0.11

***

Business Equipment

0.20

−0.04

0.24

***

−0.10

0.04

−0.14

***

Oil, Gas, and Coal Extraction and Products

0.13

−0.02

0.14

***

−0.12

0.06

−0.18

***

Healthcare, Medical Equipment, and Drugs

0.43

−0.03

0.45

***

−0.20

0.07

−0.28

***