Interest Rate Liberalization and Firm Leverage in China: Effects and Channels

Table 6

Means of matching variables before and after PSM.

Variable	Sample	Mean			% reduct	t-test
		Treated	Control	% bias		t	|
Size	Unmatched	21.747	21.956	−17.3		-6.16	0.001
	Matched	21.747	21.728	1.6	91.0	0.46	0.648
ROA	Unmatched	.05892	.05617	4.4		1.60	0.109
	Matched	0.05892	.05663	3.6	16.6	0.99	0.323
PPE	Unmatched	0.23855	0.23663	1.1		0.42	0.676
	Matched	0.23855	0.24039	−1.1	4.2	-0.31	0.760
Capex	Unmatched	0.06114	0.05508	11.4		4.37	0.001
	Matched	0.06114	0.06069	0.8	92.5	0.23	0.817
Cflow	Unmatched	0.04336	0.04165	2.3		0.85	0.395
	Matched	0.04336	0.04441	−1.4	38.9	-0.38	0.705
Grow	Unmatched	0.14182	0.13754	1.3		0.49	0.623
	Matched	0.14182	0.13437	2.3	−74.1	0.64	0.523

Note. ^∗∗∗, ^∗∗, and ^∗ indicate statistical significance at 1 percent, 5 percent, and 10 percent, respectively.