where Board is the governance quality on board composition for firm i at year t; Comp
is the governance quality on shareholding and compensation of board or management,
for firm i at year t; Share is the governance quality on shareholder rights for firm i at
year t; Disc is the governance quality on corporate governance disclosures for firm i at
year t; Audit_S is an indicator (1 if an auditor audits at least 20 percent of the industry
revenue, and 0 otherwise); SIZE is the logarithm of total assets for firm i at year t; and
LEV is the total liabilities to total assets for firm i at year t.