Endogeneity test
| Variable | DRI | GTFP | GTFP |
|---|---|---|---|
| First stage | Second stage | GMM | |
| (1) | (2) | (3) | |
| DRI | 1.150*** (63.936) | 0.009*** (2.820) | |
| IV | 7.482e-08*** (43.4120) | ||
| L. GTFP | −0.032 (−0.140) | ||
| Constant | −0.113*** (−17.039) | 0.568*** (72.313) | 1.145*** (4.520) |
| Controls | Yes | Yes | Yes |
| Industry fixed | Yes | Yes | Yes |
| Province fixed | Yes | Yes | Yes |
| N | 15,565 | 15,565 | 12,146 |
| R2 | 0.865 | ||
| Kleibergen-Paap rk LM | 2804.625*** | ||
| Kleibergen-Paap rk Wald F | 1884.602 | ||
| AR(1) p-value | 0.028 | ||
| AR(2) p-value | 0.976 | ||
| Hansen test p-value | 0.754 |
| Variable | |||
|---|---|---|---|
| First stage | Second stage | ||
| (1) | (2) | (3) | |
| 1.150*** (63.936) | 0.009*** (2.820) | ||
| 7.482e-08*** (43.4120) | |||
| L. | −0.032 (−0.140) | ||
| Constant | −0.113*** (−17.039) | 0.568*** (72.313) | 1.145*** (4.520) |
| Controls | Yes | Yes | Yes |
| Industry fixed | Yes | Yes | Yes |
| Province fixed | Yes | Yes | Yes |
| 15,565 | 15,565 | 12,146 | |
| 0.865 | |||
| Kleibergen-Paap rk | 2804.625*** | ||
| Kleibergen-Paap rk Wald F | 1884.602 | ||
| AR(1) | 0.028 | ||
| AR(2) | 0.976 | ||
| Hansen test | 0.754 |
***, ** and *are significant at 1, 5 and 10% levels, respectively, with t-values in brackets