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

Table 3

The results of testing hypotheses for the postcrisis 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:
	Trade credits					Trade credits	Disclosure about finance sources	Trade credits	Disclosure about finance sources
Obstacle to finance_big								0,3658 (0,1281)
Obstacle to finance_sme	0.658 (0.672)		0.765 (0.662)	0.781 (0.672)		0.0991 (0.0614)
Share100_sme	0.723 (0.511)
Share75							0.0336 (0.0572)
Share75_sme			−2.073 (1.093)			−0.1999 (0.0861)
Share25									−0.0636 (0.113)
Share25_big								0.1524 (0.2523)
Share25_sme				−0.565 (2.072)
Subsidies_sme	2.627 (0.911)		2.628 (0.908)	2.656 (0.905)		0.1711 (0.069)
Subsidies_big								−0.0628 (0.1152)
Foreign_share_50	−2.601 (1.005)		−2.643 (1.002)	−2.616 (1.002)		−0.1961 (0.0739)		−0.2045 (0.0739)
Gov_share_50							−0.344 (0.1575)		−0.3359 (0.157)
Compete_ informal	−0.104 (0.819)
Sme				−0.624 (0.68)			−0.4134 (0.0451)		−0.4166 (0.045)
Age_sme	−0.05 (0.026)		−0.038 (0.026)
Ln_age						−0.053 (0.031)		−0.0545 (0.0311)
Inflation			0.298 (0.267)	0.321 (0.266)
Dom_private_GDP							−0.0049 (0.0018)		−0.0049 (0.0018)
Gdpgrowth						0.0058 (0.0053)	−0.0127 (0.0037)	0.0043 (0.0052)	−0.0126 (0.0037)
Gdpgrowth compete_ informal						−0.0008 (0.003)		−0.0005 (0.003)
D_bankloans	−0.151 (0.583)					0.0697 (0.0482)		0.079 (0.0482)
Retained_earnings						−0.3669 (0.0634)		−0.3601 (0.0635)
Const	2.401 (1.373)		2.784 (1.352)	2.942 (1.446)		0.8939 (0.2297)	0.3044 (0.1005)	0.6587 (0.2462)	0.3101(0.1005)
Country effects	Yes		Yes	Yes		Yes		Yes
R^2	0.0317		0.032	0.031		—		—
Wald	—					178.67		176.22
Number of obs	10 657	10 657			10 657	6968		6968

significant at the 1% level, significant at the 5% level, significant at the 10% level. Note: in Table 3 models 1, 2 and 3 are based on the full sample, and models 4 and 5 are based on the sample without Russia. Models 1, 2 and 3 are OLS models and include the only dependent variable trade credits. Using of OLS models is due to the fact that Heckman models are inapplicable for the case of the full sample and the postcrisis period (the significance of the lambda parameter was not revealed). Models 4 and 5 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.