Skip to main content

The Official Journal of the Pan-Pacific Association of Input-Output Studies (PAPAIOS)

Journal of Economic Structures Cover Image

Table 3 Estimation results for global panel

From: Comparative analysis of the effects of institutional factors and Piketty’s Hypothesis on inequality: evidence from a panel of countries

Variable (1) EFW only (2) EFW only [IV] (3) EFW with (r − g) (4) EFW with (r − g) [IV] (5) EFW with (r − g) × EFW (6) EFW with (r − g) × EFW [IV]
EFW 0.069504*** (0.016147) 0.451182*** (0.131949) 0.069444*** (0.016154) 0.455083*** (0.132865) 0.069155*** (0.016126) 0.458865*** (0.133532)
EFW2 −0.00458*** (0.001188) −0.03141*** (0.009371) −0.00458*** (0.001189) −0.03169*** (0.009437) −0.004534*** (0.001187) −0.03188*** (0.009479)
(r−g)    1.71E − 05 (7.31E − 05) −4.09E − 05 (8.94E − 05) 0.001831** (0.000766) 0.002578*** (0.000959)
(r−g) × EFW      −0.000260** (0.000109) −0.00037*** (0.000137)
Lag GDP/capita −7.39E − 07*** (2.45E − 07) −9.69E07*** (3.34E − 07) −7.43E − 07*** (2.46E − 07) −9.59E − 07*** (3.36E − 07) −7.10E − 07*** (2.46E − 07) −9.04E − 07*** (3.36E − 07)
Govt. spending (as  % of GDP) −0.000646** (0.000317) 8.95E − 05 (0.000461) −0.000651** (0.000318) 0.000108 (0.000464) −0.000607* (0.000317) 0.000190 0.000470
Inflation 0.000315*** (0.000116) 0.001133*** (0.000316) 0.000318*** (0.000116) 0.001134*** (0.000318) 0.000346*** (0.000117) 0.001199*** (0.000323)
Population growth rate 0.001014 (0.000905) 0.000864 (0.001129) 0.001005 (0.000906) 0.000889 (0.001135) 0.000948 (0.000905) 0.000809 (0.001140)
Natural resource rent (as % of GDP) −0.000267 (0.000251) −0.000732** (0.000347) −0.000257 0.000255 −0.000762** (0.000354) −0.000137 (0.000259) −0.000597* (0.000356)
Gross savings rate (as % of GDP) 0.000413*** (0.000139) 0.000681*** (0.000192) 0.000416*** (0.000139) 0.000677*** (0.000192) 0.000418*** (0.000139) 0.000685*** (0.000193)
Tax revenue (as % of GDP) −0.00115*** (0.000158) −0.00193*** (0.000268) −0.00115*** (0.000158) −0.00194*** (0.000269) −0.001139*** (0.000158) −0.00192*** (0.000270)
Trade openness 7.09E05** (3.49E05) 9.63E − 05** (4.82E − 05) 7.19E − 05** (3.52E − 05) 9.38E − 05* (4.87E − 05) 6.62E − 05* (3.52E − 05) 8.30E − 05* (4.92E − 05)
Unemployment rate 0.001204*** (0.000207) 0.001002*** (0.000278) 0.001192*** (0.000213) 0.001028*** (0.000284) 0.001213*** (0.000213) 0.001076*** (0.000285)
Redundant fixed effects tests (prob) 208.474658 (0.0000)   207.349682 (0.0000)   203.076909 (0.0000)  
Hausman test 69.065138 (0.0000)   69.429193 (0.0000)   74.483952 (0.0000)  
Observations 1394 1360 1394 1360 1394 1360
Number of countries 82 80 82 80 82 80
Adj. R-squared 0.970005 0.955503 0.969983 0.955181 0.970090 0.954825
F-statistic 490.6446 485.0728 485.0167 479.4735 481.6390 476.5421
Prob (F-statistic) 0.000000 0.000000 0.000000 0.000000 0.000000 0.000000
  1. Dependent variable is Gini of net income. All regressions report panel fixed effects. Standard errors are in parentheses and ***, **, * indicates significant at 1%, 5%, and 10% level
  2. Source Research calculations