Approximations to the Distribution Functions of the Ordinary Least-Squares and Two-Stage Least-Squares Estimators in the Case of Two Included Endogenous Variables

Econometrica ◽  
1973 ◽  
Vol 41 (1) ◽  
pp. 67 ◽  
Author(s):  
Roberto S. Mariano
Keyword(s):  
Least Squares ◽  
Ordinary Least Squares ◽  
Distribution Functions ◽  
Two Stage ◽  
Least Squares Estimators ◽  
Endogenous Variables ◽  
Two Stage Least Squares

scholarly journals The effects of referees on the final score in football

2018 ◽  
Vol 35 (70) ◽  
pp. 79-98
Author(s):  
Matías Fontenla ◽  
Germán M. Izón
Keyword(s):  
Least Squares ◽  
Ordinary Least Squares ◽  
Two Stage ◽  
Home Team ◽  
Final Score ◽  
Crowd Size ◽  
Two Stage Least Squares

This paper examines whether there exists favouritism by individual referees in favour of the home team in Argentina’s first division football (soccer) league. We study 936 matches between 2008 and 2010, and run both ordinary least squares (OLS) and two-stage least squares (2-SLS) specifications. Using goal differential between the home and away teams as the dependent variable, we find that individual referees have a statistically significant effect on the score of the game, even after controlling for referee actions such as yellow and red cards, penalties awarded, and other factors such as team quality, crowd size, and crowd composition. Crowd size and composition do not seem to affect the outcome of the game.

scholarly journals Voluntary appointment of independent directors: evidence from Taiwan

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mao-Feng Kao ◽  
Lynn Hodgkinson ◽  
Aziz Jaafar
Keyword(s):  
Corporate Governance ◽  
Least Squares ◽  
Research Work ◽  
Ordinary Least Squares ◽  
Independent Directors ◽  
Parameter Estimates ◽  
Two Stage ◽  
Data Set ◽  
Content Type ◽  
Two Stage Least Squares

Purpose Using a data set of Taiwanese listed firms from 2002 to 2015, this paper aims to examine the determinants to voluntarily appoint independent directors. Design/methodology/approach This study uses panel estimation to exploit both the cross-section and time-series nature of the data. Further, this paper uses Tobit regression, generalized linear model (GLM) in the additional analysis and the two-stage least squares to mitigate for a possible endogeneity issue. Findings The main findings show that Taiwanese firms with large board sizes tend to voluntarily appoint independent directors and firms that already have independent supervisors more willingly to accept additional independent directors onto the board. Furthermore, ownership concentration and institutional ownership are positively associated with the voluntary appointment of independent directors. On the contrary, firms controlled by family members are generally reluctant to voluntarily appoint independent directors. Research limitations/implications The findings are important for managers, shareholders, creditors and policymakers. In particular, when considering the determinants of the voluntary appointment of independent directors, the results indicate that independent supervisors, outside shareholders and institutional investors are significant factors in influencing effective internal and external corporate governance mechanisms. This research work focuses on the voluntary appointment of independent directors. It would be interesting to compare the effectiveness of voluntary appointments with a mandatory appointment within Taiwan and with other jurisdictions. Originality/value This study incrementally contributes to the corporate governance literature in several ways. First, this study extends the earlier research by using a more comprehensive data set of non-financial Taiwanese firms and using alternative methodologies to investigate the determinants of voluntary appointment of independent directors. Second, prior studies tend to neglect the possible issue of using a censored and fractional dependent variable, the proportion of independent directors, which might yield biased and inconsistent parameter estimates when using ordinary least squares regression estimation. Finally, this study addresses the relevant econometric issues by using the Tobit, GLM and the two-stage least squares for a possible endogeneity concern.

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