Table 3 Remittances, institutional...

Table 3

Remittances, institutional quality and unemployment in Africa

	Dependent variable: Unemployment
	(1)	(2)	(3)	(4)	(5)	(6)	(7)
Lagged Unemployment	0.889***	0.857***	0.768***	0.817***	0.852***	0.863***	0.691***
Lagged Unemployment	(0.036)	(0.033)	(0.058)	(0.048)	(0.065)	(0.066)	(0.047)
Remittances	−0.109***	−0.149***	−0.196***	−0.067***	−0.076***	−0.071***	−0.195***
Remittances	(0.022)	(0.026)	(0.030)	(0.024)	(0.017)	(0.020)	(0.040)
Institutional quality		−2.141***	−2.395***	−1.440*	−1.478**	−1.462**	2.110
Institutional quality		(0.694)	(0.751)	(0.755)	(0.721)	(0.720)	(1.490)
Real GDP growth			−0.072***	−0.062**	−0.107***	−0.135***	−0.151*
Real GDP growth			(0.022)	(0.026)	(0.036)	(0.043)	(0.079)
Inflation				0.002***	0.001	0.0001	0.006***
Inflation				(0.000)	(0.001)	(0.001)	(0.002)
Financial development					3.407	4.367	−4.735**
Financial development					(3.572)	(2.851)	(2.370)
Trade openness						−0.010**	0.003
Trade openness						(0.004)	(0.007)
Remittance × Institutional quality							−0.466***
Remittance × Institutional quality							(0.174)
Constant	0.958***	2.369***	3.677***	2.098***	1.550	2.085**	2.934***
Constant	(0.334)	(0.431)	(0.871)	(0.779)	(1.014)	(0.972)	(0.969)
Net/marginal effect (min)							−0.195***
Net/marginal effect (min)							(0.401)
Net/marginal effect (mean)							−0.408***
Net/marginal effect (mean)							(0.101)
Net/marginal effect (max)							−0.661***
Net/marginal effect (max)							(0.192)
Country effects	YES	YES	YES	YES	YES	YES	YES
Observations	384	384	384	384	384	384	384
Number of countries	24	24	24	24	24	24	24
AR(2)	0.914	0.889	0.962	0.877	0.743	0.733	0.980
Hansen	0.188	0.235	0.113	0.122	0.139	0.166	0.383
Number of Instruments	14	15	16	16	17	18	19
Wald χ²	2598.49	2725.34	5394.93	8417.98	9208.82	6859.82	10,129.49
[p–value]	[0.000]	[0.000]	[0.000]	[0.000]	[0.000]	[0.000]	[0.000]

	Dependent variable: Unemployment
	(1)	(2)	(3)	(4)	(5)	(6)	(7)
Lagged Unemployment	0.889***	0.857***	0.768***	0.817***	0.852***	0.863***	0.691***
Lagged Unemployment	(0.036)	(0.033)	(0.058)	(0.048)	(0.065)	(0.066)	(0.047)
Remittances	−0.109***	−0.149***	−0.196***	−0.067***	−0.076***	−0.071***	−0.195***
Remittances	(0.022)	(0.026)	(0.030)	(0.024)	(0.017)	(0.020)	(0.040)
Institutional quality		−2.141***	−2.395***	−1.440*	−1.478**	−1.462**	2.110
Institutional quality		(0.694)	(0.751)	(0.755)	(0.721)	(0.720)	(1.490)
Real GDP growth			−0.072***	−0.062**	−0.107***	−0.135***	−0.151*
Real GDP growth			(0.022)	(0.026)	(0.036)	(0.043)	(0.079)
Inflation				0.002***	0.001	0.0001	0.006***
Inflation				(0.000)	(0.001)	(0.001)	(0.002)
Financial development					3.407	4.367	−4.735**
Financial development					(3.572)	(2.851)	(2.370)
Trade openness						−0.010**	0.003
Trade openness						(0.004)	(0.007)
Remittance × Institutional quality							−0.466***
Remittance × Institutional quality							(0.174)
Constant	0.958***	2.369***	3.677***	2.098***	1.550	2.085**	2.934***
Constant	(0.334)	(0.431)	(0.871)	(0.779)	(1.014)	(0.972)	(0.969)
Net/marginal effect (min)							−0.195***
Net/marginal effect (min)							(0.401)
Net/marginal effect (mean)							−0.408***
Net/marginal effect (mean)							(0.101)
Net/marginal effect (max)							−0.661***
Net/marginal effect (max)							(0.192)
Country effects	YES	YES	YES	YES	YES	YES	YES
Observations	384	384	384	384	384	384	384
Number of countries	24	24	24	24	24	24	24
AR(2)	0.914	0.889	0.962	0.877	0.743	0.733	0.980
Hansen	0.188	0.235	0.113	0.122	0.139	0.166	0.383
Number of Instruments	14	15	16	16	17	18	19
Wald χ²	2598.49	2725.34	5394.93	8417.98	9208.82	6859.82	10,129.49
[p–value]	[0.000]	[0.000]	[0.000]	[0.000]	[0.000]	[0.000]	[0.000]

Note(s): *, **, *** indicate significance at the 10%, 5% and 1% significance level respectively. Robust standard errors are in parentheses

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