Hi all,

I have a regression on the effect between Corporate Performance and Corporate Social Responsible activities. Including 2 control variables and two large dummies. Year dummy (2012-2017) and Industry dummy (8 different ID's)
So the stata command looks like this;

reg Tobin's Q = CSR + SIZE + LEVERAGE + i.year + i.id

Now i don't really know how to interpret this model in stead of a model without i.id and/or . Lets say my main explanatory variable (ESG) overal changed from 0.038 to 0.032 (this really happend). As i can see most of the industries are insignificant while the ESG score is still highly significant at (p<0.01). Does this mean this delta 0.006 is not reliable or what? What can i say about this CSR increase with industry in contrast to the CSR increase without industry. And what can i say about the years dummy? Thanks in advance,

Sebas Kalkman

Sorry for the messy output of stata... i dont know how to insert it better... tried to highlight the important values.


Prob > F = 0.0000
R-squared = 0.2324


tobin_Q Coef. Std. Err. t P>t [95% Conf. Interval]

ESG .0319334 .0030939 10.32 0.000 .0258671 .0379996
TA 7.16e-06 3.26e-07 21.98 0.000 6.53e-06 7.80e-06
Lev -.0006993 .0002708 -2.58 0.010 -.0012302 -.0001684

year
2013 .6985634 .2265854 3.08 0.002 .2542932 1.142834
2014 .621087 .2265861 2.74 0.006 .1768154 1.065359
2015 .0864878 .2266237 0.38 0.703 -.3578575 .5308331
2016 -.1037847 .2272649 -0.46 0.648 -.5493873 .3418178
2017 -.2443334 .228089 -1.07 0.284 -.6915518 .202885

ID
2 4.443036 1.540541 2.88 0.004 1.422469 7.463602
3 .460632 1.55425 0.30 0.767 -2.586814 3.508078
4 2.388811 1.50521 1.59 0.113 -.5624823 5.340104
5 1.611243 1.51278 1.07 0.287 -1.354893 4.577378
6 .8445117 1.558311 0.54 0.588 -2.210898 3.899921
7 .9740748 1.523349 0.64 0.523 -2.012783 3.960933
8 .296652 1.5099 0.20 0.844 -2.663836 3.25714
9 .9235992 1.516341 0.61 0.543 -2.049519 3.896717

_cons -1.973283 1.528558 -1.29 0.197 -4.970354 1.023789