Table 3 Main features of the implemented...

Table 3

Main features of the implemented fixed effects model

Characteristics of the model $B E J = α + β_{1} L R + β_{2} N L R + β_{3} O E + β_{4} P A + β_{5} S A R + β_{6} M T + β_{7} C T + u_{i t}$
Fixed-effects
Included cross-sectional units	27 (European Union countries)
Time-series length	10 years (period 2009–2018)
Dependent variable	BEJ
Specification of the model
	Coefficient	Std. error	t-ratio	p-value
α	0.0238404	0.00426421	5.591	<0.0001 ***
LR	−0.000545666	0.000152314	−3.583	0.0004 ***
NLR	0.000807625	0.000409202	1.974	0.0496 **
OE	−0.000511870	0.00103911	−0.4926	0.6227
PA	0.000175256	9.20E−05	1.905	0.058 *
SAR	−0.000516961	0.000238905	−2.164	0.0315 **
MT	0.000340964	0.000145972	2.336	0.0203 **
CT	0.000205953	1.12E−05	18.41	<0.0001 ***
Main indicators of the regression
Mean dependent var	0.033333	S.D. dependent var	0.03478
Sum squared resid	0.006429	S.E. of regression	0.00522
LSDV R-squared	0.980242	Within R-squared	0.625221
LSDV F(33, 236)	354.7949	p-value(F)	4.10E−182
Model selection criteria
Log-likelihood	POOLED OLS	593.79	Akaike criterion	POOLED OLS	−1171.58
	FIXED EFFECTS	1054.00		FIXED EFFECTS	−2040.00
	RANDOM EFFECTS	566.95		RANDOM EFFECTS	−1117.90
Schwarz criterion	POOLED OLS	−1142.80	Hannan-Quinn	POOLED OLS	−1160.02
	FIXED EFFECTS	−1917.66		FIXED EFFECTS	−1990.87
	RANDOM EFFECTS	−1089.11		RANDOM EFFECTS	−1106.34
Robustness tests
Breusch-Pagan test statistic	LM = 1048.53, with p-value = prob(χ² > 1,048.53) = 5.08928e−230 1
Hausman test statistic	H = 7.17881, with p-value = prob(χ² > 7.17881) = 0.410503 7
Joint significance of differing group means	F (26, 236) = 265.352, with p-value 3.87121e−159
Joint test on named regressors	F (7, 26) = 8.80166, with p-value = p(F (7, 26) > 8.80166) = 1.55333e−05
Robust test for differing group intercepts	Welch F (26, 87.0) = 742.225, with p-value = p(F (26, 87.0) > 742.225) = 3.80014e−91

Characteristics of the model $B E J = α + β_{1} L R + β_{2} N L R + β_{3} O E + β_{4} P A + β_{5} S A R + β_{6} M T + β_{7} C T + u_{i t}$
Fixed-effects
Included cross-sectional units	27 (European Union countries)
Time-series length	10 years (period 2009–2018)
Dependent variable	BEJ
Specification of the model
	Coefficient	Std. error	t-ratio	p-value
α	0.0238404	0.00426421	5.591	<0.0001 ***
LR	−0.000545666	0.000152314	−3.583	0.0004 ***
NLR	0.000807625	0.000409202	1.974	0.0496 **
OE	−0.000511870	0.00103911	−0.4926	0.6227
PA	0.000175256	9.20E−05	1.905	0.058 *
SAR	−0.000516961	0.000238905	−2.164	0.0315 **
MT	0.000340964	0.000145972	2.336	0.0203 **
CT	0.000205953	1.12E−05	18.41	<0.0001 ***
Main indicators of the regression
Mean dependent var	0.033333	S.D. dependent var	0.03478
Sum squared resid	0.006429	S.E. of regression	0.00522
LSDV R-squared	0.980242	Within R-squared	0.625221
LSDV F(33, 236)	354.7949	p-value(F)	4.10E−182
Model selection criteria
Log-likelihood	POOLED OLS	593.79	Akaike criterion	POOLED OLS	−1171.58
	FIXED EFFECTS	1054.00		FIXED EFFECTS	−2040.00
	RANDOM EFFECTS	566.95		RANDOM EFFECTS	−1117.90
Schwarz criterion	POOLED OLS	−1142.80	Hannan-Quinn	POOLED OLS	−1160.02
	FIXED EFFECTS	−1917.66		FIXED EFFECTS	−1990.87
	RANDOM EFFECTS	−1089.11		RANDOM EFFECTS	−1106.34
Robustness tests
Breusch-Pagan test statistic	LM = 1048.53, with p-value = prob(χ² > 1,048.53) = 5.08928e−2301
Hausman test statistic	H = 7.17881, with p-value = prob(χ² > 7.17881) = 0.4105037
Joint significance of differing group means	F (26, 236) = 265.352, with p-value 3.87121e−159
Joint test on named regressors	F (7, 26) = 8.80166, with p-value = p(F (7, 26) > 8.80166) = 1.55333e−05
Robust test for differing group intercepts	Welch F (26, 87.0) = 742.225, with p-value = p(F (26, 87.0) > 742.225) = 3.80014e−91

Note(s): Where significance levels *, **, and,*** denote the p-values less than 0.05, 0.01, and 0.001, respectively

Source(s): Authors’ own elaboration; data from EU Blue Indicators (Blue Indicators, 2020)

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