Table 21.

Robustness tests Ia Hypothesis 3

Dependent Variable	Unweighted						Full Sample
	ReturnDecline	ReturnDecline	ReturnRecovery	ReturnRecovery	DaysRecovery	DaysRecovery	DaysRecovery	DaysRecovery
	Loss	Profit	Loss	Profit	Loss	Profit	Loss	Profit
LossCarryback	0.1322**	0.0388***	0.8777	0.3542***	142.7991	−  123.6221***	−  184.0016	−  145.7299***
	(2.16)	(3.74)	(1.39)	(4.27)	(0.64)	(−  4.04)	(−  0.87)	(−  2.78)
LossCarryforward	0.1466**	0.0215*	0.7985	−  0.0559	7.9542	−  102.7876***	−  792.1996***	−  107.6790
	(2.00)	(1.77)	(1.02)	(−  0.57)	(0.03)	(−  2.80)	(−  3.68)	(−  1.52)
GroupTaxSystem	0.1013*	0.0025	−  0.2432	−  0.1114	−  385.5632*	−  42.4271	70.1343	109.9688*
	(1.79)	(0.25)	(−  0.41)	(−  1.36)	(−  1.77)	(−  1.39)	(0.36)	(1.88)
TaxRate	−  1.4765***	−  0.4650***	−  0.9191	1.5854*	891.0601	505.1686*	3199.8805	2005.6991***
	(−  2.88)	(−  4.52)	(−  0.17)	(1.91)	(0.52)	(1.66)	(1.64)	(3.38)
F−Test
LCB=LCF	0.8084	0.1625	0.9021	0.0000***	0.4774	0.5667	0.0197**	0.5836
Controls	Yes	Yes	Yes	Yes	Yes	Yes	Yes	Yes
Crisis & Industry FE	Yes	Yes	Yes	Yes	Yes	Yes	Yes	Yes
Observations	253	2,882	212	2,513	147	1,976	264	2,885
Centered R2	0.1787	0.1316	0.0724	0.0827	0.1393	0.0438	0.1911	0.0696

This table represents additional robustness checks for Hypothesis 3. Columns 1 to 6 present the results using no weighting, Columns 7 and 8 display results for a modified DaysRecoveryvariable, where outliers and companies which do not reach their pre−  crisis maximum after the respective crisis received the value of 1,667 days. Data from the International Monetary Fund, EY Worldwide Corporate Tax Guide, and Thomson Reuters. The observational units are firms. See Appendix Table 16 for the remaining variable definitions. Heteroskedasticity-robust Driscoll-Kraay standard errors with multi-way clustering on year-industry-level and country-level in parentheses. *Indicates significance at the 10% level, **indicates significance at the 5% level, ***indicates significance at the 1% level