Company ID Year ROA ROE Loss Ratio Age of the firm Company Size

1 2012 6.39 8.2 16.6 27 5581.61

1 2013 4.33 4.97 28.29 28 6305.32
1 2014 7.35 8.75 13 29 6599.35
1 2015 7.59 9.86 24 30 7660.46
1 2016 9.47 11.28 25 31 8588.24
1 2017 10.24 4 24 32 9843.85
1 2018 2 4 28 33 10165.42
1 2019 3 5 28 34 11099.72
1 2020 6 11 24 35 11304.98
1 2021 6 12 9 36 12640.58
2 2012 8.27 16.55 12.64 25 1020.62
2 2013 8.24 16.24 16.41 26 1115.12
2 2014 10.62 20.3 4.01 27 1188.83
2 2015 5.76 9.9 10.27 28 1098.81
2 2016 7.32 12.34 11.41 29 1129.94
2 2017 6.97 1.3 4.2 30 1317.6
2 2018 6.62 12.1 19.32 31 1350.69
2 2019 7.54 13.34 12.89 32 1385.3
2 2020 10.37 18.54 14.5 33 1499.41
2 2021 10.6 18.66 21.47 34 1616.46
3 2012 23.1 22.49 0.42 26 1317.35
3 2013 22.48 17.41 0.38 27 1547.73
3 2014 22.13 18.55 0.21 28 1717.82
3 2015 20.05 13.55 0.24 29 1783.95
3 2016 17.7 12.86 0.4 30 210.11
3 2017 15.15 10.56 0.25 31 2347.25
3 2018 18.99 8.71 0.18 32 2405.81
3 2019 20.88 6.65 0.12 33 2421.6
3 2020 19.59 6.91 0.13 34 2595.23
3 2021 18.77 6.39 0.16 35 2689.91
4 2012 8.25 20.42 17.56 18 543.57
4 2013 7.47 18.29 24.94 19 591.73
4 2014 7.52 18.36 18.14 20 619.5
4 2015 7.83 19.4 14.48 21 628.75
4 2016 7.32 18.98 15.54 22 690.41
4 2017 6.8 10.67 28.77 23 721.35
4 2018 6.37 10.34 24.55 24 791.72
4 2019 4.65 7.27 7.97 25 821.42
4 2020 6.01 9.33 12.7 26 850
4 2021 7.12 10.75 20.67 27 901.35
5 2012 4.51 5.86 17.35 26 3459.61
5 2013 2.86 3.77 22.74 27 3647.11
5 2014 0.031 0.043 24.49 28 3967.98
5 2015 0.581 0.82 15.24 29 4065.18
5 2016 2.23 3.06 12.015 30 4200.13
5 2017 2.89 3.92 11.74 31 4310.59
5 2018 3.23 4.54 14.4 32 4546.15
5 2019 4.89 6.89 13.52 33 4672.44
5 2020 6.22 9.12 12.98 34 5144.46
5 2021 7.2 10.89 23.62 35 5679.79
Volume of Capital Commission Earned Commission Paid Adverstisements Expenses
3858.35 212.39 342.66 0.078
4478.95 184.3 345.12 0.02
4852.92 197.39 367.47 0.415
5692.23 339.38 443.36 0.016
5643.42 452.02 442.8 0.68
6412.19 338.51 396.59 0.025
5746.34 371.45 547.35 0.231
5858.47 331.93 624.62 0.049
6242.22 547.91 414.72 0.068
6723.21 562.64 209.72 0.1362
510.07 40.93 46.19 1.34
565.81 59.63 57.6 2.63
621.65 55.66 60.15 3.8
639.01 76.26 66.26 2.78
670.13 54.82 57.84 2.37
705.72 60.01 58.93 1.47
738.81 62.83 66.74 0.83
782.79 77.43 80.51 2.02
838.99 77.7 77.09 1.72
918.66 67.18 40.5 0.64
878.71 89.62 95.37 1.3
880.82 91.89 97.43 1.35
1081.42 91.4 99.5 1.28
1165.65 81.1 99 1.39
1470.54 72.84 117.7 1.31
1594.14 65.31 122.77 1.48
1595.15 55.32 146.46 1.39
1638.11 57.42 155.71 1.46
1627.25 48.05 148.8 1.43
1707.29 50.19 150.1 1.47
315.92 17.22 40.12 0.45
360.1 15.2 38.55 0.72
394.58 16.04 39.77 1.52
418.42 18.96 47.97 2.34
456.29 22 54.69 1.94
460.5 23.02 48.51 2.02
487.66 25.03 47.42 2.55
525.89 21.95 51.98 3.18
547.76 27 43.61 1.78
596.81 27.49 11.2 1.89
2664 137.185 166.162
2772.42 131.203 174.149
2798.42 97.019 299.03
2882.69 85.56 218.89
3063.22 68.256 213.09
3183.97 58.368 221.09
3251.83 87.56 266.9 2.32
3320.62 105.17 326.04 3.46
3509.88 82.638 307.27 3.85
3759.78 90.327 148.64 6.237
 logAge logSize logCap logCE logCP logAE
1.431364 3.746759 3.586402 2.327134 2.534863 -1.107905
1.447158 3.799707 3.651176 2.265525 2.53797 -1.69897
1.462398 3.819501 3.686003 2.295325 2.565222 -0.381952
1.477121 3.884255 3.755282 2.530686 2.646757 -1.79588
1.491362 3.933904 3.751542 2.655158 2.646208 -0.167491
1.50515 3.993165 3.807006 2.529572 2.598342 -1.60206
1.518514 4.007125 3.759391 2.5699 2.738265 -0.636388
1.531479 4.045312 3.767784 2.521047 2.795616 -1.309804
1.544068 4.05327 3.795339 2.738709 2.617755 -1.167491
1.556303 4.101767 3.827577 2.750231 2.32164 -0.865823
1.39794 3.008864 2.70763 1.612042 1.664548 0.127105
1.414973 3.047322 2.752671 1.775465 1.760422 0.419956
1.431364 3.07512 2.793546 1.745543 1.779236 0.579784
1.447158 3.040923 2.805508 1.882297 1.821251 0.444045
1.462398 3.053055 2.826159 1.738939 1.762228 0.374748
1.477121 3.119784 2.848632 1.778224 1.770336 0.167317
1.491362 3.130556 2.868533 1.798167 1.824386 -0.080922
1.50515 3.141544 2.893645 1.888909 1.90585 0.305351
1.518514 3.17592 2.923757 1.890421 1.886998 0.235528
1.531479 3.208565 2.963155 1.82724 1.607455 -0.19382
1.414973 3.119701 2.943846 1.952405 1.979412 0.113943
1.431364 3.189695 2.944887 1.963268 1.988693 0.130334
1.447158 3.234978 3.033994 1.960946 1.997823 0.10721
1.462398 3.251383 3.066568 1.909021 1.995635 0.143015
1.477121 2.322447 3.167477 1.86237 2.070776 0.117271
1.491362 3.370559 3.202526 1.81498 2.089092 0.170262
1.50515 3.381261 3.202802 1.742882 2.165719 0.143015
1.518514 3.384102 3.214343 1.759063 2.192317 0.164353
1.531479 3.414176 3.211454 1.681693 2.172603 0.155336
1.544068 3.429738 3.232307 1.700617 2.176381 0.167317
1.255273 2.735255 2.499577 1.236033 1.603361 -0.346787
1.278754 2.772124 2.556423 1.181844 1.586024 -0.142668
1.30103 2.792041 2.596135 1.205204 1.599556 0.181844
1.322219 2.798478 2.621612 1.277838 1.68097 0.369216
1.342423 2.839107 2.659241 1.342423 1.737908 0.287802
1.361728 2.858146 2.66323 1.362105 1.685831 0.305351
1.380211 2.898572 2.688117 1.398461 1.675962 0.40654
1.39794 2.914565 2.720895 1.341435 1.715836 0.502427
1.414973 2.929419 2.73859 1.431364 1.639586 0.25042
1.431364 2.954893 2.775836 1.439175 1.049218 0.276462
1.414973 3.539027 3.425534 2.137307 2.220532 0
1.431364 3.561949 3.442859 2.117944 2.240921 0
1.447158 3.598569 3.446913 1.986857 2.475715 0
1.462398 3.60908 3.459798 1.932271 2.340226 0
1.477121 3.623263 3.486178 1.834141 2.328563 0
1.491362 3.634537 3.502969 1.766175 2.344569 0
1.50515 3.657644 3.512128 1.942306 2.426349 0.365488
1.518514 3.669544 3.521219 2.021892 2.513271 0.539076
1.531479 3.71134 3.545292 1.91718 2.48752 0.585461
1.544068 3.754332 3.575162 1.955818 2.172136 0.794976
xtset CompanyID Year, yearly
panel variable: CompanyID (unbalanced)
time variable: Year, 2012 to 2021
delta: 1 year

. xtreg ROA logAge logSize logCap logCE logCP logAE LossRatio, fe

Fixed-effects (within) regression Number of obs = 50

Group variable: CompanyID Number of groups = 5

R-sq: within = 0.1257 Obs per group: min = 10

between = 0.0219 avg = 10.0
overall = 0.0281 max = 10

F(7,38) = 0.78
corr(u_i, Xb) = -0.2471 Prob > F = 0.6077

------------------------------------------------------------------------------
ROA | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
logAge | -2.548566 20.70035 -0.12 0.903 -44.45423 39.3571
logSize | 1.92414 2.28133 0.84 0.404 -2.694171 6.542452
logCap | -4.421611 10.78427 -0.41 0.684 -26.25322 17.41
logCE | 1.490699 2.894888 0.51 0.610 -4.369696 7.351094
logCP | -3.691661 2.51578 -1.47 0.150 -8.784592 1.401269
logAE | 1.027941 1.09895 0.94 0.355 -1.196766 3.252648
LossRatio | .0040623 .063485 0.06 0.949 -.1244564 .1325811
_cons | 25.1033 14.42508 1.74 0.090 -4.098738 54.30534
-------------+----------------------------------------------------------------
sigma_u | 6.5063021
sigma_e | 2.1371032
rho | .90261642 (fraction of variance due to u_i)
------------------------------------------------------------------------------
F test that all u_i=0: F(4, 38) = 30.90 Prob > F = 0.0000

. estimate store fe

. xtreg ROA logAge logSize logCap logCE logCP logAE LossRatio, re

Random-effects GLS regression Number of obs = 50

Group variable: CompanyID Number of groups = 5

R-sq: within = 0.0003 Obs per group: min = 10

between = 0.9097 avg = 10.0
 overall = 0.5932 max = 10

Wald chi2(7) = 61.24

corr(u_i, X) = 0 (assumed) Prob > chi2 = 0.0000

------------------------------------------------------------------------------
ROA | Coef. Std. Err. z P>|z| [95% Conf. Interval]
-------------+----------------------------------------------------------------
logAge | 12.03538 15.0274 0.80 0.423 -17.41779 41.48855
logSize | -3.242018 4.11957 -0.79 0.431 -11.31623 4.832191
logCap | -4.945268 6.075546 -0.81 0.416 -16.85312 6.962584
logCE | 3.042136 3.593701 0.85 0.397 -4.001389 10.08566
logCP | 1.089811 4.524822 0.24 0.810 -7.778676 9.958299
logAE | -2.750585 1.532838 -1.79 0.073 -5.754893 .2537226
LossRatio | -.4839617 .0816528 -5.93 0.000 -.6439982 -.3239252
_cons | 16.60748 16.01888 1.04 0.300 -14.78894 48.0039
-------------+----------------------------------------------------------------
sigma_u | 0
sigma_e | 2.1371032
rho | 0 (fraction of variance due to u_i)
------------------------------------------------------------------------------

. estimate store re

. hausman re fe

---- Coefficients ----

| (b) (B) (b-B) sqrt(diag(V_b-V_B))
| re fe Difference S.E.
-------------+----------------------------------------------------------------
logAge | 12.03538 -2.548566 14.58395 .
logSize | -3.242018 1.92414 -5.166159 3.430217
logCap | -4.945268 -4.421611 -.523657 .
logCE | 3.042136 1.490699 1.551437 2.129392
logCP | 1.089811 -3.691661 4.781473 3.760966
logAE | -2.750585 1.027941 -3.778526 1.068599
LossRatio | -.4839617 .0040623 -.4880241 .05135
------------------------------------------------------------------------------
b = consistent under Ho and Ha; obtained from xtreg
B = inconsistent under Ha, efficient under Ho; obtained from xtreg

Test: Ho: difference in coefficients not systematic

chi2(7) = (b-B)'[(V_b-V_B)^(-1)](b-B)
 = 64.20
Prob>chi2 = 0.0000
(V_b-V_B is not positive definite)

. xtreg ROE logAge logSize logCap logCE logCP logAE LossRatio, fe

Fixed-effects (within) regression Number of obs = 50

Group variable: CompanyID Number of groups = 5

R-sq: within = 0.2652 Obs per group: min = 10

between = 0.7614 avg = 10.0
overall = 0.4080 max = 10

F(7,38) = 1.96
corr(u_i, Xb) = -0.9238 Prob > F = 0.0868

------------------------------------------------------------------------------
ROE | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
logAge | -9.022458 42.35382 -0.21 0.832 -94.76329 76.71838
logSize | -.5236992 4.667702 -0.11 0.911 -9.972968 8.92557
logCap | -20.39727 22.06509 -0.92 0.361 -65.06571 24.27117
logCE | 7.70924 5.923069 1.30 0.201 -4.281387 19.69987
logCP | -5.622979 5.147397 -1.09 0.282 -16.04334 4.797381
logAE | 2.531132 2.2485 1.13 0.267 -2.020717 7.082982
LossRatio | .0467854 .1298932 0.36 0.721 -.2161696 .3097405
_cons | 86.86243 29.51434 2.94 0.006 27.11377 146.6111
-------------+----------------------------------------------------------------
sigma_u | 6.7077049
sigma_e | 4.3726073
rho | .70178131 (fraction of variance due to u_i)
------------------------------------------------------------------------------
F test that all u_i=0: F(4, 38) = 0.88 Prob > F = 0.4824

. estimate store fe1

. xtreg ROE logAge logSize logCap logCE logCP logAE LossRatio, re

Random-effects GLS regression Number of obs = 50

Group variable: CompanyID Number of groups = 5

R-sq: within = 0.2247 Obs per group: min = 10

between = 0.9626 avg = 10.0
overall = 0.5253 max = 10
 Wald chi2(7) = 46.47
corr(u_i, X) = 0 (assumed) Prob > chi2 = 0.0000

------------------------------------------------------------------------------
ROE | Coef. Std. Err. z P>|z| [95% Conf. Interval]
-------------+----------------------------------------------------------------
logAge | -23.26961 15.58803 -1.49 0.135 -53.82159 7.282363
logSize | -.7595807 4.273259 -0.18 0.859 -9.135015 7.615853
logCap | -11.76057 6.302207 -1.87 0.062 -24.11267 .5915272
logCE | 11.99264 3.727772 3.22 0.001 4.68634 19.29894
logCP | -3.372249 4.693629 -0.72 0.472 -12.57159 5.827096
logAE | .2607508 1.590024 0.16 0.870 -2.855639 3.377141
LossRatio | -.0919688 .084699 -1.09 0.278 -.2579757 .0740382
_cons | 70.09098 16.61649 4.22 0.000 37.52325 102.6587
-------------+----------------------------------------------------------------
sigma_u | 0
sigma_e | 4.3726073
rho | 0 (fraction of variance due to u_i)
------------------------------------------------------------------------------

. estimate store re1

. hausman fe1 re1

---- Coefficients ----

| (b) (B) (b-B) sqrt(diag(V_b-V_B))
| fe1 re1 Difference S.E.
-------------+----------------------------------------------------------------
logAge | -9.022458 -23.26961 14.24716 39.38096
logSize | -.5236992 -.7595807 .2358815 1.877951
logCap | -20.39727 -11.76057 -8.636697 21.14593
logCE | 7.70924 11.99264 -4.283397 4.602876
logCP | -5.622979 -3.372249 -2.250729 2.113181
logAE | 2.531132 .2607508 2.270381 1.589835
LossRatio | .0467854 -.0919688 .1387542 .0984801
------------------------------------------------------------------------------
b = consistent under Ho and Ha; obtained from xtreg
B = inconsistent under Ha, efficient under Ho; obtained from xtreg

Test: Ho: difference in coefficients not systematic

chi2(7) = (b-B)'[(V_b-V_B)^(-1)](b-B)
= 3.50
Prob>chi2 = 0.8351
.
FIXED EFFECT MODEL
RANDOM EFFECT MODEL

HAUSMAN TEST

NULL HYPOTHESIS IS REJECTED.

ALTERNATE HYPOTHESIS IS ACCEPTED. THAT INDICATES FIXED EFFECT MODEL IS MORE APPROPRIAT
FIXED EFFECT
RANDOM EFFECT

HAUSMAN TEST

NULL HYPOTHESIS CANNOT BE REJECTED.

THAT INDICATES RANDOM EFFECT MODEL IS MORE APPROPRIATE.
IS MORE APPROPRIATE.