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Journal of Economic Structures

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

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Table 7 Fixed effect estimation results of five areas of economic freedom

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

Variable (1) (2) (3) (4) (5)
(r−g) −6.20E − 05
(0.000435) 		0.001295***
(0.000337) 		0.000874* (0.000475) −0.000311
(0.000606) 		0.001607***
(0.000459)
Lag GDP/capita −7.19E − 07***
(1.78E − 07) 		−6.60E − 07***
(2.51E − 07) 		−6.93E − 07***
(2.49E − 07) 		−8.62E − 07***
(2.62E − 07) 		−7.92E − 07***
(2.61E − 07)
Govt. spending (as  % of GDP) −0.000504*
(0.000281) 		−0.000717**
(0.000321) 		−0.00093***
(0.000318) 		−0.000785**
(0.000316) 		−0.000770**
(0.000318)
Inflation 5.08E − 05
(0.000116) 		0.000145
(0.000109) 		9.46E − 05
(0.000133) 		0.000123
(0.000110) 		0.000126
(0.000110)
Population growth rate 0.000660
(0.001667) 		0.001019
(0.000909) 		0.001093
(0.000913) 		0.001196
(0.000909) 		0.000999
(0.000913)
Natural resource rent (as  % of GDP) −0.000245
(0.000273) 		−5.69E − 05
(0.000257) 		−4.27E − 05
(0.000262) 		−0.000376
(0.000263) 		−3.80E − 05
(0.000259)
Gross savings rate (as  % of GDP) 0.000385***
(0.000128) 		0.000375***
(0.000140) 		0.000333**
(0.000141) 		0.000396***
(0.000139) 		0.000342**
(0.000140)
Tax revenue (as  % of GDP) −0.001136***
(0.000250) 		−0.00111***
(0.000160) 		−0.00103***
(0.000162) 		−0.00109***
(0.000159) 		−0.001100***
(0.000159)
Trade openness 7.99E − 05**
(3.33E − 05) 		7.78E − 05**
(3.53E − 05) 		7.91E − 05**
(3.55E − 05) 		7.34E − 05**
(3.53E − 05) 		6.67E − 05 *
(3.58E − 05)
Unemployment rate 0.001295***
(0.000206) 		0.001173***
(0.000212) 		0.001209***
(0.000214) 		0.001015***
(0.000212) 		0.001154***
(0.000210)
EFW1 0.011585***
(0.003712) 		    
EFW12 −0.000532**
(0.000279) 		    
(r−g) × EFW1 1.37E − 05
(6.87E − 05) 		    
EFW2   0.012940***
(0.004017) 		   
EFW22   −0.00110***
(0.000373) 		   
(r−g) × EFW2   −0.00023***
(6.01E − 05) 		   
EFW3    -0.013544**
(0.005299) 		  
EFW32    0.000952***
(0.000339) 		  
(r−g) × EFW3    −0.000102*
(5.64E − 05) 		  
EFW4     0.031972***
(0.005828) 		 
EFW42     −0.00224***
(0.000421) 		 
(r−g) × EFW4     4.43E − 05
(8.01E − 050) 		 
EFW5      0.006393
(0.009240)
EFW52      −0.000210
(0.000667)
(r−g) × EFW5      −0.000236***
(6.80E − 05)
Redundant fixed effects tests (prob) 199.837128
(0.0000) 		203.073872
(0.0000) 		209.428482
(0.0000) 		206.846867
(0.0000) 		201.134660
(0.0000)
Hausman test 72.567801
(0.0000) 		83.187496
(0.0000) 		65.382413
(0.0000) 		72.041878
(0.0000) 		70.647063
(0.0000)
Adj. R-squared 0.970054 0.969739 0.969494 0.969941 0.969637
F-statistic 481.0456 475.8991 471.2806 478.8391 479.3310
Prob(F-statistic) 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 ***, **, *, respectively, mean significant at 1%, 5%, and 10% level
  2. Source Research calculations
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