Staggering Up, Staggering Down, Assets, ROA, CAPX
, R&D, and Industry
CAPX is the capital expenditures of the firm, standing for the net investment of the firm during the period.
Table 2 is the Pearson correlations coefficients of variables MV (market value of equity), BV (book value of equity), E (monopoly power of the firm), XRD (Research and Development spending) and CAPX (capital expenditures, i.
CAPX is the current period reported capital expenditures scaled by total assets and should be positively associated with returns (Clarkson, Li, and Richardson 2004).
4 CAPX ($ millions) 947 1,966 398 ENVLIAB ($ millions) 17.
As predicted in H4, throwback states have significantly lower mean CAPX than their counterpart non-throwback states.
TABLE 1 Variable Definitions and Data Sources CAPX = dollar amount (in millions) of new capital expenditures for firms in the manufacturing sector, by state.
All columns include the independent variable Staggered Board, plus the set of standard controls: Assets, ROA, CAPX
, R&D, and Industry M&A Volume.
In each cap, 100 securities with the largest CAPX
make subject to further categorized by Z-score.
Dependent and Control Variables CAPX
Capital expenditures Compustat A Total assets As above [DELTA]A Total assets minus previous As above year's total assets CF Cash flow defined as earnings As above before extraordinary items plus depreciation and amortization expense Q Tobin's Q defined as the market As above value of assets to the book value of assets.
Capital expenditures is defined as the capital expenditures over the prior fiscal year scaled by total assets: CAPX
= capital expenditures/total assets.
0 Median (in Percent) Portfolio Cash LT Debt/ CAPX
/ Flow Assets Net PPE CAPX