Complex Interplay of Eastern Bloc SMEs Trade Credit Determinants: Changes due to the Global Financial Crisis

Table 2

The results of testing hypotheses for the precrisis period.

Variables	The full sample						The sample without Russia
	Model 1		Model 2		Model 3		Model 4		Model 5
	Dependent variable:		Dependent variable:		Dependent variable:		Dependent variable:		Dependent variable:
	Trade credits	Disclosure about finance sources	Trade credits	Disclosure about finance sources	Trade credits	Disclosure about finance sources	Trade credits	Disclosure about finance sources	Trade credits	Disclosure about finance sources
Obstacle to finance		0.003 (0.033)		0.054 (0.034)		0.003 (0.032)		0.0599 (0.0402)		0.0597 (0.0402)
Obstacle to_finan ce_sme	0.479 (0.435)		−0.248 (0.442)		0.588 (0.429)		−0.0402 (0.033)		−0.051 (0.0326)
Share100		0.014 (0.028)					0.0389 (0.0337)
Share100_ sme	−1.316 (0.333)						−0.07 (0.0254)
Share75				−0.017 (0.056)
Share75_ sme			−0.519 (0.768)
Share25						−0.046 (0.062)				−0.0442 (0.0771)
Share25_ sme					2.509 (0.885)				0.21 (0.0736)
Subsidies_ sme	−0.186 (0.699)		−0.213 (0.675)		−0.369 (0.688)		−0.0432 (0.0517)		−0.0446 (0.0517)
Foreign_ share_50	1.113 (0.469)		1.35 (0.453)		0.61 (0.464)		0.0636 (0.0363)		0.077 (0.0361)
Gov_ share _50		−0.41 (0.043)		−0.362 (0.044)		−0.423 (0.042)		−0.49 (0.0526)		−0.48 (0.0519)
Sme		−0.28 (0.036)			−0.383 (0.416)	−0.282 (0.035)		−0.35 (0.0437)		−0.35 (0.0433)
Age				0.003 (0.001)			−0.0207 (0.0166)		−0.0148 (0.0163
Age_sme			0.024 (0.015)
Gdp growth	−0.032 (0.029)	0.025 (0.002)		0.025 (0.002)		0.026 (0.002)	0.0028 (0.0023)		0.0017 (0.0023)
Political stability		0.432 (0.084)		0.448 (0.084)		0.454 (0.084)
Inflation			−0.111 (0.049)		0.022(0.052)
D_bank loans					2.41 (0.371)		0.160 (0.0288)		0.17 (0.0287)
Retained_earnings							−0.22 (0.0333)		−0.22 (0.0333)
Dom_private_GDP								0.013 (0.0039)		0.01 (0.0038)
Const	−3.123 (2.466)	0.071 (0.1)	−5.37 (1.865)	−0.202 (0.096)	−1.874 (1.734)	0.09 (0.1)	0.0634 (0.1719)	−0.41 (0.0878)	0.1155 (0.1717)	−0.39 (0.0885)
Country effects	Yes		Yes		Yes		Yes		Yes
Wald	112.42		84.72		132.77		182.53		183.95
Obs	10522		9984		10507		7357		7357

significant at the 1% level, significant at the 5% level, significant at the 10% level. Note: in Table 2 models 1, 2 and 3 are based on the full sample, and models 4 and 5 are based on the sample without Russia. All the models are Heckman models, where trade credits is the main dependent variable, and disclosure about finance source is the second dependent variable. The choice of factors to be included in the models is based on the correlation matrix. For each factor, the numbers without brackets are the regression coefficients, the numbers in brackets are the standard errors.