Variable

System GMM

Differential GMM

(1) FA

(2) FA

L.FA

0.690***

0.652***

(12.76)

(15.18)

L.MPU

−0.108*

−0.134*

(−1.78)

(−1.94)

Constant

0.970*

(1.83)

Firm controls

YES

YES

Macroeconomic controls

YES

YES

Observations

21,854

18,989

AR(1)

0.000

0.000

AR(2)

0.802

0.309

Hansen test (P value)

0.127

0.169