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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 8 2SLS 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) 0.008810*
(0.005210) 		0.002270***
(0.000434) 		0.005952**
(0.003067) 		−0.001228
(0.001123) 		−0.000196
(0.001417)
Lag GDP/capita −3.08E − 06**
(1.49E − 06) 		−1.07E − 06***
(3.99E − 07) 		8.18E − 07
(9.16E − 07) 		−4.80E − 07
(5.95E − 07) 		−2.73E − 06**
(1.14E − 06)
Govt. spending (as  % of GDP) 0.003548
(0.002429) 		−0.000357
(0.000394) 		−0.000784
(0.000744) 		0.000219
(0.000537) 		0.000634
(0.000863)
Inflation −0.000463
(0.000373) 		0.000241*
(0.000125) 		−0.000784
(0.000744) 		0.000660**
(0.000231) 		−0.000809
(0.000503)
Population growth rate −0.004410
(0.003564) 		0.001555
(0.001052) 		0.002987
(.002300) 		7.75E − 05
(0.001365) 		−0.001901
(0.002342)
Natural resource rent (as  % of GDP) −0.001108
(0.000803) 		−8.43E − 05
(0.000286) 		0.001029
(0.000846) 		−0.001506**
(0.000606) 		−0.001616*
(0.000900)
Gross savings rate (as  % of GDP) 0.000749*
(0.000402) 		0.000545***
(0.000167) 		0.128700***
(0.040032) 		0.000703***
(0.000228) 		0.001111**
(0.000440)
Tax revenue (as  % of GDP) −0.00205***
(0.000556) 		−0.00210***
(0.000256) 		−0.003842**
(0.001546) 		−0.00153***
(0.000339) 		−0.0015***
(0.000460)
Trade openness 0.000106
(9.70E − 05) 		0.000124***
(4.31E − 05) 		−2.05E − 05
(0.000118) 		1.52E − 05
(6.96E − 05) 		0.000100
(8.61E − 05)
Unemployment rate 0.002446***
(0.000810) 		0.001077***
(0.000261) 		0.012603***
(0.003539) 		0.000763**
(0.000381) 		0.000541
(0.000511)
EFW1 0.295454*
(0.167960) 		    
EFW12 −0.018695
(0.011420) 		    
(r−g) × EFW1 −0.001254*
(0.000741) 		    
EFW2   0.093011***
(0.029822) 		   
EFW22   −0.00828***
(0.002879) 		   
(r−g) × EFW2   −0.00040***
(7.67E − 05) 		   
EFW3    −0.341668**
(0.173638) 		  
EFW32    0.019706*
(0.010142) 		  
(r−g) × EFW3    −0.000708*
(0.000364) 		  
EFW4     0.195123***
(0.067223) 		 
EFW42     −0.01211***
(0.004460) 		 
(r−g) × EFW4     0.000153
(0.000149) 		 
EFW5      −0.56761**
(0.263736)
EFW52      0.040889**
(0.018762)
(r−g) × EFW5      4.34E − 07
(0.000200)
Observations 1360 1360 1358 1359 1360
Number of countries 80 80 80 80 80
Adj. R-squared 0.840632 0.962136 0.848207 0.940148 0.878289
F-statistic 475.1823 481.1154 474.1967 475.2936 478.9523
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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