Table 1

Variables definition

LabelVariable nameDescriptionSource
MSModern Slavery IndexGlobal modern slavery index which is affected by a complex interaction of factors related to the presence or absence of protection and respect for rights, physical safety and security, access to the necessities of life such as food water and health care, and patterns of migration, displacement, and conflict. Statistical testing grouped 24 measures of vulnerability into four dimensions covering: (i) civil and political protection, (ii) social health and economic rights, (iii) personal security, and (iv) refugee populations and conflict. It ranges from 0 to 100. Higher values indicate higher slavery and vice versa in year twww.globalslaveryindex.org
2016, 2018 and 2023
CORRUPControl of Corruption Index (Measure of the perceived level of corruption)The Control of Corruption Index which measures the perception to which public power is exercised for private gain, including both petty and grand forms of corruption, as well as the capture of the state by elites and private interest. For simplicity we multiply (−1) with Control of Corruption Index. Higher values indicate higher corruption and vice versa in year tWorldwide Governance Indicator and Kaufmann and Kraay (2023) 
SDGsSustainable development goalsCountry-level Sustainable Development Goals (SDGs) scores developed and published by the United Nations (UN). It ranges from 0 to 100. Higher values indicate higher sustainable development goals achieved and vice versa in year thttps://sdgs.un.org/goals
STAKEStakeholder vs stockholder originDummy variables take the value of 1, if the country is a stakeholder country and 0 otherwise 
GDPGross Domestic ProductGDP per capita (current US$) is the natural logarithm of gross domestic product divided by midyear population in year tWorld Bank national accounts data www.worldbank.org
FOIFreedom of informationMeasures the extent to which a country’s citizens are able to participate in selection of their government, as well as enjoy freedom of expression, freedom of association and a free media. It ranges from −2.50 to 2.50. For simplicity we multiply (−1) with Control of Corruption Index with higher scores indicating greater participation and freedom and vice versa in year tWorld Bank www.worldbank.org
FDIForeign direct investmentFDI is the natural logarithm of foreign direct investment in a country in a year, all in current US dollars in year tWorld Bank www.worldbank.org
ExportMerchandise tradeMerchandise trade is the balance of merchandise exports and imports, all in current US dollars in year tWorld Bank www.worldbank.org
MANMandatory modern slavery reportingDummy variable that equals 1 if a country has devised regulations for firms to report whether they (the firms) comply with human rights in their business operations and else 0 in year t 
MS_ALTModern slavery alternative measureMS_ALT is the natural logarithm of number of people in slavery in a country in year twww.globalslaveryindex.org
2016, 2018 and 2023
HIPCHighly indebted poor countriesDummy variable that equals 1 if a country is classified as a heavily indebted poor country and else 0World Bank www.worldbank.org
RDIReligious Diversity indexIt scores for countries, regions and the world based on the shares of eight major world religions (Buddhism, Christianity, folk or traditional religions, Hinduism, Islam, Judaism, other religions considered as a group, and the religiously unaffiliated). Score ranges from 0 to 10. Higher scores indicate higher religious diversity and vice versaPew Research Centre
YEAR FEYear fixed effectsA vector of dummy variables indicating year 

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