Table 4 Remittances, institutional...

Table 4

Remittances, institutional quality and unemployment in Africa (robustness results)

		Dependent variable: unemployment
	(1)	(2)	(3)	(4)	(5)	(6)	(7)
Lagged Unemployment	0.838***	0.848***	0.801***	0.736***	0.785***	0.702***	0.695***
Lagged Unemployment	(0.063)	(0.045)	(0.042)	(0.048)	(0.063)	(0.049)	(0.039)
Remittances	−0.126***	−0.089**	−0.096***	−0.186***	−0.344***	−0.406***	−0.244***
Remittances	(0.027)	(0.038)	(0.033)	(0.036)	(0.083)	(0.063)	(0.070)
Economic freedom index		−0.071**	−0.106***	−0.058*	−0.034**	−0.024*	0.009
Economic freedom index		(0.031)	(0.025)	(0.033)	(0.016)	(0.013)	(0.013)
Real GDP growth			−0.085***	−0.077**	−0.146***	−0.128***	−0.290***
Real GDP growth			(0.027)	(0.033)	(0.032)	(0.037)	(0.035)
Inflation				0.002**	0.004**	0.005***	0.003
Inflation				(0.001)	(0.002)	(0.002)	(0.002)
Financial development					3.030	0.796	−1.789
Financial development					(2.193)	(2.699)	(1.551)
Trade openness						0.006	0.001
Trade openness						(0.010)	(0.004)
Remittance × Economic freedom index							−0.014**
Remittance × Economic freedom index							(0.006)
Constant	1.423***	5.354***	8.327***	5.732**	3.823***	3.807***	3.122***
Constant	(0.542)	(1.979)	(1.652)	(2.370)	(0.902)	(1.469)	(0.860)
Net/marginal effect (min)							−0.842***
Net/marginal effect (min)							(0.249)
Net/marginal effect (mean)							−1.052***
Net/marginal effect (mean)							(0.332)
Net/marginal effect (max)							−1.325***
Net/marginal effect (max)							(0.442)
Country effects	YES	YES	YES	YES	YES	YES	YES
Observations	384	370	370	370	370	370	370
Number of countries	24	24	24	24	24	24	24
AR(2)	0.899	0.994	0.810	0.843	0.814	0.943	0.603
Hansen	0.246	0.108	0.183	0.141	0.382	0.559	0.615
Number of Instruments	8	15	16	16	17	18	19
Wald χ²	1852.44	8495.58	6133.34	5214.85	1820.73	1437.39	3730.47
[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	0.838***	0.848***	0.801***	0.736***	0.785***	0.702***	0.695***
Lagged Unemployment	(0.063)	(0.045)	(0.042)	(0.048)	(0.063)	(0.049)	(0.039)
Remittances	−0.126***	−0.089**	−0.096***	−0.186***	−0.344***	−0.406***	−0.244***
Remittances	(0.027)	(0.038)	(0.033)	(0.036)	(0.083)	(0.063)	(0.070)
Economic freedom index		−0.071**	−0.106***	−0.058*	−0.034**	−0.024*	0.009
Economic freedom index		(0.031)	(0.025)	(0.033)	(0.016)	(0.013)	(0.013)
Real GDP growth			−0.085***	−0.077**	−0.146***	−0.128***	−0.290***
Real GDP growth			(0.027)	(0.033)	(0.032)	(0.037)	(0.035)
Inflation				0.002**	0.004**	0.005***	0.003
Inflation				(0.001)	(0.002)	(0.002)	(0.002)
Financial development					3.030	0.796	−1.789
Financial development					(2.193)	(2.699)	(1.551)
Trade openness						0.006	0.001
Trade openness						(0.010)	(0.004)
Remittance × Economic freedom index							−0.014**
Remittance × Economic freedom index							(0.006)
Constant	1.423***	5.354***	8.327***	5.732**	3.823***	3.807***	3.122***
Constant	(0.542)	(1.979)	(1.652)	(2.370)	(0.902)	(1.469)	(0.860)
Net/marginal effect (min)							−0.842***
Net/marginal effect (min)							(0.249)
Net/marginal effect (mean)							−1.052***
Net/marginal effect (mean)							(0.332)
Net/marginal effect (max)							−1.325***
Net/marginal effect (max)							(0.442)
Country effects	YES	YES	YES	YES	YES	YES	YES
Observations	384	370	370	370	370	370	370
Number of countries	24	24	24	24	24	24	24
AR(2)	0.899	0.994	0.810	0.843	0.814	0.943	0.603
Hansen	0.246	0.108	0.183	0.141	0.382	0.559	0.615
Number of Instruments	8	15	16	16	17	18	19
Wald χ²	1852.44	8495.58	6133.34	5214.85	1820.73	1437.39	3730.47
[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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