Table 7 Robustness checks in the function of loan growth.

	Dependent variable: the growth rate of bank loans
	Two-step system GMM		Fixed-effects regression with Driscoll–Kraay standard errors
	(1) SFYroa	(2) SFYroe	(3) SFYroa	(4) SFYroe
Lagged dependent variable	0.150*** (0.024)	0.129*** (0.023)
Lending rates	–2.905*** (0.191)	–2.501*** (0.180)	–3.182*** (0.151)	–2.952*** (0.141)
Lending rates*Search for yield	0.539*** (0.102)	0.088*** (0.010)	0.427** (0.148)	0.071*** (0.022)
Search for yield	–2.482 (1.646)	–0.150 (0.162)	–4.355** (1.800)	–0.528** (0.191)
Control variables	Yes	Yes	Yes	Yes
Number of observations	325	325	325	325
Number of banks	31	31	31	31
Number of instruments	29	29
AR(1) test	0.001	0.001
AR(2) test	0.354	0.266
Hansen test	0.130	0.131
F-test			0.000	0.000
R-squared			0.348	0.374

This table reports the regression results estimated by the two-step system GMM dynamic panel model (columns 1–2) and the fixed-effects static model with Driscoll–Kraay standard errors (columns 3–4). The “search for yield” variable used (SFYroa and SFYroe, separately) is given at the top of each column. Symbols *** and ** indicate significance at the 1 and 5% levels, respectively. Robust standard errors are expressed in parentheses. All test results are shown with p-values (Hansen test, AR(1)/AR(2) tests, and F-test). For the definitions of all variables employed, see Table 1.

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