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

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