78
Table 4.10: Results for Covariate 3 - Size for Acquisitions
|
τ = —0.5 |
τ = 0 |
τ = 0.2 |
τ = 0.5 |
τ = 0.8 | |
|
Parameters |
0.329 |
0.724 |
0.270 |
0.272 |
0.645 |
|
SE of Est |
0.266 |
0.255 |
0.207 |
0.217 |
0.211 |
|
Upper Bound |
0.850 |
1.225 |
0.677 |
0.697 |
1.057 |
|
Lower Bound |
-0.193 |
0.224 |
-0.137 |
-0.152 |
0.232 |
Table 4.11: Results for Covariate 4 - Age for Acquisitions
|
τ = -0.5 |
τ = 0 |
τ = 0.2 |
τ = 0.5 |
τ = 0.8 | |
|
Parameters |
-0.013 |
0.100 |
0.043 |
-0.021 |
-0.045 |
|
SE of Est |
0.220 |
0.232 |
0.174 |
0.163 |
0.189 |
|
Upper Bound |
0.418 |
0.555 |
0.384 |
0.299 |
0.325 |
|
Lower Bound |
-0.445 |
-0.356 |
-0.298 |
-0.342 |
-0.415 |
Conclusions
Our results show that both Size and Liability have significant impacts to both
bankruptcy and acquisition. Besides those two factors, Growth has significant impacts
to acquisition but not to bankruptcy. Specifically, large size and high liability might be
associated with the high probability of bankruptcy. Large size, low liability, and high
growth might be associated with the high probability of acquisition. Such association
tends to vary with respect to the value of τ.