Table 3

The estimate results of the FEM and REM regression models

VariableModel 1Model 2VIF
FEM1REM1FEM2REM2
DT*R&D  0.281 (0.79)0.741** (2.31) 
DT−0.0383** (−2.32)−0.0132 (−0.91)−0.0419** (−2.44)−0.0189 (−1.27)1.29
R&D0.0420 (0.92)0.0698** (2.00)0.0370 (0.80)0.0556 (1.59)1.28
Size−0.0446*** (−3.72)−0.0273*** (−3.70)−0.0434*** (−3.59)−0.0228*** (−3.12)2.89
Grow0.00370*** (4.05)0.0356*** (3.96)0.0369*** (4.05)0.0348*** (3.82)1.04
Labour0.0545** (2.41)0.0462*** (4.56)0.0480** (2.00)0.0384*** (3.77)3.15
Asset0.0180 (0.42)0.0196 (0.59)0.0236 (0.54)0.0273 (0.82)1.22
Lev0.00154 (0.57)−0.00129 (−0.51)0.0017 (0.63)−0.0011 (−0.44)1.11
Age0.0390 (0.96)0.0079 (0.52)0.0408** (1.01)0.0090 (0.63)1.10
Gender−0.00254 (−0.19)−0.0009 (−0.07)−0.0031 (−0.23)−0.0037 (−0.29)1.19
Constant0.509* (1.73)0.296** (2.3)0.518* (1.76)0.248** (1.99) 
Number of Observation365365365365365
R211.9%12.1% 
Hausman Test0.00430.0000 
Lagrange0.00000.0000 
Wooldridge7.2546.661 
Modifidge Wald0.00000.0000 

Note(s): *; **; and *** represent p-values < 0.1, < 0.05, and < 0.01, respectively

Source(s): Authors’ own work

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