1: FDI and Economic Growth

Appendix 2.1: FDI and Economic Growth

A. Common Effect Model

Dependent Variable: INC? Method: Pooled Least Squares Date: 08/10/11 Time: 13:44 Sample: 2006 2009 Included observations: 4 Cross-sections included: 120 Total pool (unbalanced) observations: 474

Variable Coefficient Std. Error t-Statistic Prob.

R-squared 0.856687 Mean dependent var 9.13E+10 Adjusted R-squared

3.56E+11 S.E. of regression

0.856384 S.D. dependent var

54.09714 Sum squared resid

1.35E+11 Akaike info criterion

54.11470 Log likelihood

8.58E+24 Schwarz criterion

2821.495 Durbin-Watson stat

-12819.02 F-statistic

1.402751 Prob(F-statistic)

B. Fixed Effect Model

Dependent Variable: INC? Method: Pooled Least Squares Date: 08/18/11 Time: 13:20 Sample: 2006 2009 Included observations: 4 Cross-sections included: 120 Total pool (unbalanced) observations: 474

Variable

Coefficient

Std. Error

t-Statistic Prob.

C 8.16E+10 9.74E+09 8.378096 0.0000 FDI?

-0.005344 0.9957 Fixed Effects (Cross) _AFGAN--C

1.17E+08

-7.36E+10

_ALBANIA--C

-7.37E+10

_ALGERIA--C

1.48E+09

_ANGOLA--C

-5.92E+10

_ARGENT--C 1.17E+11 _ARMEN--C

-7.53E+10 _AZERBA--C

-6.41E+10 _BANGLAD--C

-1.14E+10 _BELARUS--C

-4.45E+10 _BELIZE--C

-8.10E+10 _BENIN--C

-7.67E+10 _BHUTAN--C

-8.06E+10 _BOLIVIA--C

-7.25E+10 _BOTSWN--C

-7.36E+10 _BRAZIL--C

1.01E+12 _BURKIN--C

-7.56E+10 _BURUN--C

-8.07E+10 _CAMBO--C

-7.59E+10 _CAMER--C

-6.42E+10 _CAPE--C

-8.07E+10 _CAFRICAN--C

-8.01E+10 _CHAD--C

-7.89E+10 _CHILE--C

-8.05E+09 _CHINA--C

2.98E+12 _COLOM--C

5.84E+10 _COMO--C

-8.12E+10 _CONGOD--C

-7.73E+10 _CONGOR--C

-8.62E+10 _COSTA--C

-6.23E+10 _COTEDI--C

-6.54E+10 _CROAT--C

-4.40E+10 _DJIBOU--C

-8.11E+10 _DOMINIC--C

-5.17E+10 _ECUADOR--C

-4.78E+10 _EGYPT--C

1.01E+10 _ELSALVA--C

-6.60E+10 _EQUATOR--C

-8.39E+10 _ERITREA--C

-8.02E+10 _ETHIOPIA--C

-6.28E+10 _FIJI--C

-7.96E+10 _GABON--C

-7.71E+10 _GAMBIA--C

-8.12E+10 _GEORGIA--C

-7.59E+10 _GHANA--C

-6.69E+10 _GUATEM--C

-5.29E+10 _GUINEA--C

-8.01E+10 _GUINEAB--C

-8.09E+10 _GUYANA--C

-8.03E+10 _HONDUR--C

-7.26E+10 _INDIA--C

8.49E+11 _INDON--C

2.24E+11

_IRAN--C

9.57E+10

_IRAQ--C -6.34E+10 _JAMAICA--C

-7.34E+10 _JORDAN--C

-7.14E+10 _KAZAKH--C

-6.16E+10 _KENYA--C

-5.74E+10 _KYRGYZ--C

-7.87E+10 _LAO--C

-7.81E+10 _LEBANON--C

-6.71E+10 _LESOTHO--C

-8.01E+10 _LIBERIA--C

-8.16E+10 _LIBYA--C

-5.39E+10 _MACEDO--C

-7.57E+10 _MADAG--C

-7.65E+10 _MALAWI--C

-7.83E+10 _MALAYSIA--C

4.44E+10

_MALDIVES--C -8.07E+10 _MALI--C

-7.49E+10 _MAURIT--C

-7.98E+10 _MAURIT--C

-7.98E+10 _MEXICO--C

6.39E+11

_MOLDOVA--C -7.79E+10 _MONGOLIA--C

-8.00E+10 _MOROCCO--C

-1.92E+10 _MOZAM--C

-7.59E+10 _NAMIBIA--C

-7.48E+10 _NEPAL--C

-7.15E+10 _NICARAGUA--C

-7.77E+10 _NIGER--C

-7.81E+10 _NIGERIA--C

2.21E+10

_OMAN--C -6.63E+10 _PAKISTAN--C

3.88E+10

_PANAMA--C -6.96E+10 _PAPUANG--C

-7.76E+10 _PARAGUAY--C

-7.05E+10 _PERU--C

-1.03E+10 _PHILIPPI--C

5.67E+10

_RWANDA--C -7.80E+10 _SAMOA--C

-8.10E+10 _SAOTOME--C

-8.14E+10 _SAUDI--C

4.83E+10

_SENEGAL--C -7.20E+10 _SIERRA--C

-8.02E+10 _SOLOMON--C

-8.12E+10 _SOUTHAF--C

1.22E+11

_SRILANKA--C -5.04E+10 _VINCENT--C

-8.13E+10

Effects Specification

Cross-section fixed (dummy variables)

R-squared 0.957583 Mean dependent var 9.13E+10 Adjusted R-squared

0.943003 S.D. dependent var 3.56E+11 S.E. of regression

8.50E+10 Akaike info criterion 53.38598 Sum squared resid

2.54E+24 Schwarz criterion 54.45701 Log likelihood

65.67471 Durbin-Watson stat

-12530.48 F-statistic

0.861173 Prob(F-statistic) 0.000000

C. Random Effect Model

Dependent Variable: INC? Method: Pooled EGLS (Cross-section random effects) Date: 08/18/11 Time: 13:19 Sample: 2006 2009 Included observations: 4 Cross-sections included: 120 Total pool (unbalanced) observations: 474 Swamy and Arora estimator of component variances

Variable Coefficient Std. Error t-Statistic Prob.

1.792186 0.0737 FDI?

C 1.45E+10

-1.564518 0.1184 Random Effects (Cross)

-1.03E+08

_AFGAN--C 1.08E+09 _ALBANIA--C

-7.21E+09 _ALGERIA--C

1.25E+10 _ANGOLA--C

-4.21E+09 _ARGENT--C

2.69E+10 _ARMEN--C

-7.59E+09 _AZERBA--C

1.99E+10 _BANGLAD--C

2.46E+10 _BELARUS--C

-6.47E+09 _BELIZE--C

-6.11E+09 _BENIN--C

-3.81E+09 _BHUTAN--C

5.09E+08 _BOLIVIA--C

-4.25E+09 _BOTSWN--C

-2.05E+09 _BRAZIL--C

2.40E+11 _BURKIN--C

-3.74E+09 _BURUN--C

-4.46E+09 _CAMBO--C

-1.16E+10 _CAMER--C

4.22E+09 _CAPE--C

1.23E+10 _CAFRICAN--C

-5.90E+09 _CHAD--C

-6.02E+09 _CHILE--C

-1.25E+11 _CHINA--C

3.78E+11 _COLOM--C

-3.49E+10 _COMO--C

-4.69E+09 _CONGOD--C

-2.04E+10 _CONGOR--C

-3.61E+10 _COSTA--C

-1.91E+10 _COTEDI--C

-1.68E+09 _CROAT--C

-4.19E+10 _DJIBOU--C

-1.18E+09 _DOMINIC--C

-1.58E+10 _ECUADOR--C

6.86E+09 _EGYPT--C

-7.97E+10 _ELSALVA--C

-7.34E+09 _EQUATOR--C

-1.60E+10 _ERITREA--C

-6.16E+09 _ETHIOPIA--C

1.27E+09 _FIJI--C

-7.25E+09 _GABON--C

-6.39E+09 _GAMBIA--C

-6.02E+09

_GEORGIA--C -1.36E+10 _GHANA--C

-1.45E+10 _GUATEM--C

1.83E+09

_GUINEA--C -1.26E+10 _GUINEAB--C

-3.78E+09 _GUYANA--C

3.18E+09

_HONDUR--C -8.97E+09 _INDIA--C

_JAMAICA--C -1.47E+10 _JORDAN--C

-3.40E+10 _KAZAKH--C

-1.54E+11 _KENYA--C

4.78E+09

_KYRGYZ--C -6.57E+09 _LAO--C

-6.03E+09 _LEBANON--C

-3.86E+10 _LESOTHO--C

-5.65E+09 _LIBERIA--C

-4.09E+08 _LIBYA--C

-3.40E+10 _MACEDO--C

-5.70E+09 _MADAG--C

-1.26E+10 _MALAWI--C

-4.86E+09 _MALAYSIA--C

-9.77E+09 _MALDIVES--C

-8.67E+08 _MALI--C

-1.51E+09 _MAURIT--C

-3.91E+09 _MAURIT--C

-3.91E+09 _MEXICO--C

1.34E+11

_MOLDOVA--C -7.62E+09 _MONGOLIA--C

-8.95E+09 _MOROCCO--C

-9.59E+08 _MOZAM--C

-7.10E+09 _NAMIBIA--C

-1.48E+09 _NEPAL--C

-1.35E+09 _NICARAGUA--C

-3.73E+09 _NIGER--C

-8.64E+09 _NIGERIA--C

-3.18E+10 _OMAN--C

-2.85E+10 _PAKISTAN--C

6.15E+09

_PANAMA--C -2.97E+10 _PAPUANG--C

-4.98E+09 _PARAGUAY--C

-3.87E+09 _PERU--C

-3.40E+10 _PHILIPPI--C

4.49E+10

_RWANDA--C -2.54E+09

Effects Specification

Cross-section random S.D. / Rho 5.37E+10 0.2855 Idiosyncratic random S.D. / Rho

8.50E+10 0.7145

Weighted Statistics

R-squared 0.723655 Mean dependent var 5.67E+10 Adjusted R-squared

0.722482 S.D. dependent var 2.28E+11 S.E. of regression

1.20E+11 Sum squared resid 6.81E+24 F-statistic

616.6965 Durbin-Watson stat 1.439694 Prob(F-statistic)

Unweighted Statistics

R-squared 0.846127 Mean dependent var 9.13E+10

Sum squared resid 9.22E+24 Durbin-Watson stat 1.063983