The African Financial Review July-August 2014 | Page 65

Table 2: Results for the growth model
Dependent Variable - Grgdp
Variables
Lgkap
Lssenr
Lpsenr
Llab
Lopen
Reprisk
Polrig
Ethsion
Ltaxes
Lnare
Constant
R2
Adjusted R2
F-stat
Country Dummy Countries
Number of Observations

LSDV
OLS

0.486***
[5.98]
(0.000)

0.314*
[1.91]
(0.059)

0.474**
[1.98]
(0.039)
0.631*
[1.88]
(0.080)
0.133*
[2.41]
(0.067)

0.292*
[1.88]
(0.073)

Pooled
[6.75]
[1.99]
[2.07]
[1.75]
[1.97]
[1.92]

0.372***
(0.000)

0.171*

(0.063)
0.257**

(0.048)

0.229*

(0.080)

0.091**

(0.026)
0.232*

(0.081)

0.362***
[2.00]
(0.001)

[3.29]
[2.07]

-0.372***

0.298*
[2.27]
(0.074)

[1.86]

0.214***

-0.754**
[2.71]
(0.044)

0.143*
[3.04]
(0.087)
2.169*
[1.92]
(0.098)

0.280
0.244
5.02 (0.000) Yes
30
713

[1.91]
[1.79]

0.264**

(0.045)

(0.007)

(0.004)

0.074***
(0.002)
0.397**

(0.027)

0.192
0.178
6.46 (0.000) No
30
713

Source: Estimated by the Author. Notes: Gkap, Lab, Ssenr and Psenr are proxies for employment to population ratio, capital or investment and human capital respectively. Absolute t statistics are displayed in
parentheses beside the coefficient estimates while probability values are in brackets under the coefficient estimates. LSDV- Least Square Dummy Variable, OLS – Ordinary Least Square. * - significant at 10
percent; ** - significant at 5 percent; *** - significant at 1 percent.

The African Financial Review | 65