Digital Finance, Financing Constraint and Enterprise Financial Risk

Table 7

Robustness test.

Variable	L (1)	L (2)	L (3)	L (4)
	“U” shaped relationship	Municipalities excluded	Joint fixed-effect	Instrumental variable method
DIF	−0.951^∗∗	0.263	0.300	0.304^∗∗
	(0.4405)	(0.0678)	(0.0830)	(0.1137)
DIF^2	0.133
	(0.0478)
Constant	11.499	9.023	10.886
	(1.1145)	(0.6520)	(0.8224)
Control variable	Yes	Yes	Yes	Yes
Fixed-effect of year, industry and region	Yes	Yes	No	Yes
Joint fixed-effect of year^∗, industry^∗, and region^∗	No	No	Yes	No
Kleibergen-Paap rk LM statistic value				0.0001
Kleibergen-Paap rk Wald F value				478.790
Observations	23475	18800	14220	19790
R-squared	0.1738	0.1737	0.3788	0.1687

Note. The symbol “” means ; “^∗∗” means ; and “^∗” means . Cluster-robust standard error is shown in brackets.