Robustness checks
| (1) | (2) | (3) | (4) | (5) | (6) | |
|---|---|---|---|---|---|---|
| Variables | FDI inflow | Greenfield | Merger | FDI inflow | Greenfield | Merger |
| Panel A | No control variables | |||||
| Sanction | −0.150** | −0.180** | −0.571*** | |||
| (0.059) | (0.089) | (0.202) | ||||
| Arms | 0.088* | −0.137 | 0.499 | |||
| (0.113) | (0.158) | (0.374) | ||||
| Military | −0.044*** | −0.079 | −0.605*** | |||
| (0.057) | (0.087) | (0.200) | ||||
| Trade | −0.199*** | −0.097 | −0.509*** | |||
| (0.069) | (0.095) | (0.188) | ||||
| Financial | 0.077 | 0.177 | −0.256 | |||
| (0.084) | (0.121) | (0.290) | ||||
| Travel | −0.135 | −0.230 | −0.082 | |||
| (0.135) | (0.177) | (0.425) | ||||
| Other | −0.165 | −0.126 | −0.499 | |||
| (0.119) | (0.180) | (0.372) | ||||
| Constant | 7.260*** | 7.125*** | 6.105*** | 7.209*** | 7.061*** | 6.020*** |
| (0.041) | (0.060) | (0.138) | (0.034) | (0.048) | (0.107) | |
| Observations | 2,402 | 2,344 | 1,478 | 2,402 | 2,344 | 1,478 |
| R-squared | 0.896 | 0.775 | 0.754 | 0.896 | 0.775 | 0.755 |
| Country FEs | YES | YES | YES | YES | YES | YES |
| Year FEs | YES | YES | YES | YES | YES | YES |
| Panel B | Exclude crisis years | |||||
| Sanction | −0.223*** | −0.250** | −0.674*** | |||
| (0.072) | (0.097) | (0.236) | ||||
| Arms | 0.387* | 0.201 | 0.463 | |||
| (0.128) | (0.208) | (0.433) | ||||
| Military | −0.204*** | −0.166 | −0.899*** | |||
| (0.077) | (0.098) | (0.229) | ||||
| Trade | −0.224** | −0.209 | −0.695*** | |||
| (0.088) | (0.108) | (0.200) | ||||
| Financial | 0.135 | 0.225 | 0.148 | |||
| (0.099) | (0.161) | (0.348) | ||||
| Travel | −0.032 | −0.154 | −0.042 | |||
| (0.158) | (0.187) | (0.454) | ||||
| Other | −0.142 | −0.026 | −0.874** | |||
| (0.135) | (0.170) | (0.430) | ||||
| Unemployment_ratio | −0.460 | −2.316** | −3.307 | −0.589 | −2.432** | −3.421 |
| (0.877) | (1.047) | (2.225) | (0.871) | (1.054) | (2.232) | |
| Bank_branch | 1.789*** | −0.033 | −0.829 | 1.795*** | −0.051 | −0.734 |
| (0.504) | (0.679) | (1.139) | (0.509) | (0.696) | (1.124) | |
| Openess | −0.289 | −0.239 | 0.679 | −0.282 | −0.231 | 0.636 |
| (0.179) | (0.220) | (0.467) | (0.179) | (0.219) | (0.469) | |
| Government_size | −3.384** | −4.536*** | 2.815 | −3.431** | −4.515*** | 2.838 |
| (1.472) | (1.692) | (4.395) | (1.479) | (1.733) | (4.413) | |
| Population_density | 0.102*** | 0.046 | 0.178*** | 0.102*** | 0.045 | 0.189*** |
| (0.030) | (0.028) | (0.061) | (0.031) | (0.028) | (0.062) | |
| Constant | 8.296*** | 8.699*** | 5.427*** | 8.224*** | 8.591*** | 5.348*** |
| (0.359) | (0.416) | (0.998) | (0.361) | (0.418) | (1.000) | |
| Observations | 1,357 | 1,399 | 1,040 | 1,357 | 1,399 | 1,040 |
| R-squared | 0.893 | 0.836 | 0.774 | 0.894 | 0.837 | 0.778 |
| Country FEs | YES | YES | YES | YES | YES | YES |
| Year FEs | YES | YES | YES | YES | YES | YES |
| Panel C | Add more control variables | |||||
| Sanction | −0.214** | −0.241** | −0.846*** | |||
| (0.114) | (0.107) | (0.256) | ||||
| Arms | 0.505 | 0.143 | 0.318 | |||
| (0.142) | (0.294) | (0.668) | ||||
| Military | −0.110*** | −0.037 | −1.022*** | |||
| (0.107) | (0.099) | (0.277) | ||||
| Trade | −0.209*** | −0.078 | −0.821*** | |||
| (0.121) | (0.120) | (0.232) | ||||
| Financial | 0.266 | −0.066 | 0.113 | |||
| (0.198) | (0.205) | (0.384) | ||||
| Travel | 0.046 | −0.122 | 0.208 | |||
| (0.226) | (0.222) | (0.629) | ||||
| Other | −0.310 | 0.005 | −1.141** | |||
| (0.209) | (0.166) | (0.524) | ||||
| Unemployment_ratio | −0.426 | −1.645 | −3.902 | −0.862 | −1.779 | −3.591 |
| (1.287) | (1.095) | (2.465) | (1.267) | (1.189) | (2.749) | |
| Bank_branch | 1.216* | 0.790 | −2.464* | 1.397** | 1.245* | −1.460 |
| (0.682) | (0.625) | (1.357) | (0.686) | (0.666) | (1.484) | |
| Openess | −0.320 | 0.048 | −0.077 | −0.298 | −0.126 | −0.179 |
| (0.239) | (0.262) | (0.516) | (0.238) | (0.249) | (0.500) | |
| Government_size | −3.957* | −0.603 | 5.972 | −3.405 | −0.459 | 1.656 |
| (2.336) | (1.976) | (6.067) | (2.371) | (2.193) | (5.966) | |
| Population_density | 0.113*** | 0.079*** | 0.174*** | 0.108*** | 0.072*** | 0.154*** |
| (0.036) | (0.027) | (0.058) | (0.035) | (0.027) | (0.057) | |
| GDP per capital growth | −0.883 | 0.140 | 4.989 | −0.712 | 0.325 | 5.624* |
| (1.144) | (0.983) | (3.163) | (1.165) | (1.040) | (3.159) | |
| Monetary credit to private sector | 0.018 | −0.554*** | −0.013 | −0.004 | −0.455** | −0.021 |
| (0.254) | (0.209) | (0.469) | (0.259) | (0.218) | (0.519) | |
| ATM | −0.342* | −0.175 | −1.012* | −0.373* | −0.284 | −0.776* |
| (0.198) | (0.201) | (0.601) | (0.195) | (0.221) | (0.452) | |
| Research | −8.459 | −13.627 | 64.379* | −8.775 | −6.288 | 60.317* |
| (15.994) | (11.811) | (33.644) | (16.166) | (12.268) | (35.374) | |
| Constant | 9.237*** | 8.304*** | 6.444*** | 9.073*** | 8.351*** | 6.490*** |
| (0.577) | (0.473) | (1.365) | (0.598) | (0.502) | (1.408) | |
| Observations | 911 | 962 | 770 | 911 | 909 | 736 |
| R-squared | 0.864 | 0.880 | 0.769 | 0.865 | 0.888 | 0.778 |
| Country FEs | YES | YES | YES | YES | YES | YES |
| Year FEs | YES | YES | YES | YES | YES | YES |
| (1) | (2) | (3) | (4) | (5) | (6) | |
|---|---|---|---|---|---|---|
| Variables | FDI inflow | Greenfield | Merger | FDI inflow | Greenfield | Merger |
| (0.059) | (0.089) | (0.202) | ||||
| 0.088 | −0.137 | 0.499 | ||||
| (0.113) | (0.158) | (0.374) | ||||
| −0.079 | ||||||
| (0.057) | (0.087) | (0.200) | ||||
| −0.097 | ||||||
| (0.069) | (0.095) | (0.188) | ||||
| 0.077 | 0.177 | −0.256 | ||||
| (0.084) | (0.121) | (0.290) | ||||
| −0.135 | −0.230 | −0.082 | ||||
| (0.135) | (0.177) | (0.425) | ||||
| −0.165 | −0.126 | −0.499 | ||||
| (0.119) | (0.180) | (0.372) | ||||
| Constant | 7.260*** | 7.125*** | 6.105*** | 7.209*** | 7.061*** | 6.020*** |
| (0.041) | (0.060) | (0.138) | (0.034) | (0.048) | (0.107) | |
| Observations | 2,402 | 2,344 | 1,478 | 2,402 | 2,344 | 1,478 |
| 0.896 | 0.775 | 0.754 | 0.896 | 0.775 | 0.755 | |
| Country FEs | YES | YES | YES | YES | YES | YES |
| Year FEs | YES | YES | YES | YES | YES | YES |
| (0.072) | (0.097) | (0.236) | ||||
| 0.387 | 0.201 | 0.463 | ||||
| (0.128) | (0.208) | (0.433) | ||||
| −0.166 | ||||||
| (0.077) | (0.098) | (0.229) | ||||
| −0.209 | ||||||
| (0.088) | (0.108) | (0.200) | ||||
| 0.135 | 0.225 | 0.148 | ||||
| (0.099) | (0.161) | (0.348) | ||||
| −0.032 | −0.154 | −0.042 | ||||
| (0.158) | (0.187) | (0.454) | ||||
| −0.142 | −0.026 | |||||
| (0.135) | (0.170) | (0.430) | ||||
| −0.460 | −2.316** | −3.307 | −0.589 | −2.432** | −3.421 | |
| (0.877) | (1.047) | (2.225) | (0.871) | (1.054) | (2.232) | |
| 1.789*** | −0.033 | −0.829 | 1.795*** | −0.051 | −0.734 | |
| (0.504) | (0.679) | (1.139) | (0.509) | (0.696) | (1.124) | |
| −0.289 | −0.239 | 0.679 | −0.282 | −0.231 | 0.636 | |
| (0.179) | (0.220) | (0.467) | (0.179) | (0.219) | (0.469) | |
| −3.384** | −4.536*** | 2.815 | −3.431** | −4.515*** | 2.838 | |
| (1.472) | (1.692) | (4.395) | (1.479) | (1.733) | (4.413) | |
| 0.102*** | 0.046 | 0.178*** | 0.102*** | 0.045 | 0.189*** | |
| (0.030) | (0.028) | (0.061) | (0.031) | (0.028) | (0.062) | |
| Constant | 8.296*** | 8.699*** | 5.427*** | 8.224*** | 8.591*** | 5.348*** |
| (0.359) | (0.416) | (0.998) | (0.361) | (0.418) | (1.000) | |
| Observations | 1,357 | 1,399 | 1,040 | 1,357 | 1,399 | 1,040 |
| 0.893 | 0.836 | 0.774 | 0.894 | 0.837 | 0.778 | |
| Country FEs | YES | YES | YES | YES | YES | YES |
| Year FEs | YES | YES | YES | YES | YES | YES |
| (0.114) | (0.107) | (0.256) | ||||
| 0.505 | 0.143 | 0.318 | ||||
| (0.142) | (0.294) | (0.668) | ||||
| −0.037 | ||||||
| (0.107) | (0.099) | (0.277) | ||||
| −0.078 | ||||||
| (0.121) | (0.120) | (0.232) | ||||
| 0.266 | −0.066 | 0.113 | ||||
| (0.198) | (0.205) | (0.384) | ||||
| 0.046 | −0.122 | 0.208 | ||||
| (0.226) | (0.222) | (0.629) | ||||
| −0.310 | 0.005 | |||||
| (0.209) | (0.166) | (0.524) | ||||
| −0.426 | −1.645 | −3.902 | −0.862 | −1.779 | −3.591 | |
| (1.287) | (1.095) | (2.465) | (1.267) | (1.189) | (2.749) | |
| 1.216* | 0.790 | −2.464* | 1.397** | 1.245* | −1.460 | |
| (0.682) | (0.625) | (1.357) | (0.686) | (0.666) | (1.484) | |
| −0.320 | 0.048 | −0.077 | −0.298 | −0.126 | −0.179 | |
| (0.239) | (0.262) | (0.516) | (0.238) | (0.249) | (0.500) | |
| −3.957* | −0.603 | 5.972 | −3.405 | −0.459 | 1.656 | |
| (2.336) | (1.976) | (6.067) | (2.371) | (2.193) | (5.966) | |
| 0.113*** | 0.079*** | 0.174*** | 0.108*** | 0.072*** | 0.154*** | |
| (0.036) | (0.027) | (0.058) | (0.035) | (0.027) | (0.057) | |
| −0.883 | 0.140 | 4.989 | −0.712 | 0.325 | 5.624* | |
| (1.144) | (0.983) | (3.163) | (1.165) | (1.040) | (3.159) | |
| 0.018 | −0.554*** | −0.013 | −0.004 | −0.455** | −0.021 | |
| (0.254) | (0.209) | (0.469) | (0.259) | (0.218) | (0.519) | |
| −0.342* | −0.175 | −1.012* | −0.373* | −0.284 | −0.776* | |
| (0.198) | (0.201) | (0.601) | (0.195) | (0.221) | (0.452) | |
| −8.459 | −13.627 | 64.379* | −8.775 | −6.288 | 60.317* | |
| (15.994) | (11.811) | (33.644) | (16.166) | (12.268) | (35.374) | |
| Constant | 9.237*** | 8.304*** | 6.444*** | 9.073*** | 8.351*** | 6.490*** |
| (0.577) | (0.473) | (1.365) | (0.598) | (0.502) | (1.408) | |
| Observations | 911 | 962 | 770 | 911 | 909 | 736 |
| 0.864 | 0.880 | 0.769 | 0.865 | 0.888 | 0.778 | |
| Country FEs | YES | YES | YES | YES | YES | YES |
| Year FEs | YES | YES | YES | YES | YES | YES |
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