Table 3.

Results of selecting the transition variable, linearity and selection order m

RegionsTestTransition variable PUCDTResults of the H0Selecting order m
m = 1m = 2m = 3m = 2m = 1; H01*m = 2; H02*m = 3; H03*
Newly democratic African countriesLMFFs5.006.902.1730.1220.918.3450.30
 pv7.678e–310.00020.000204.112e–253.002e–02 3.875e–24
LMχFs30.6713.7712.0412.5389.309.6345.20
 pv4.987e–283.129e–252.062e–060.000233.002e–02 4.435e–20
WBpv0.00
WCBpv0.00
Newly democratic European countriesLMFFs4.504.394.1922.9870.6910.1360.45
 pv9.290e–206.247e–135.998e–302.922e–195.985e–200.714.949e–22
LMχFs41.0016.0015.349.4090.567.2140.56
 pv5.842e–235.679e–224.985e–114.687e–108.765e–330.806.658e–14
WBpv0.00
WCBpv0.00

Notes:

Dependent variable is the Growth. All variables PUCDT, IMFIN, IMFDTI, TRP, INFL, GEXP, EMSS, TRM and PG were included as candidates for identifying the appropriate transition variable using the LM-type test. *Reflect the 10% level of significance. p-v are the p-values, and Fs denotes the F-statistic

Source: Author’s calculation results based on data from WDI, 2023

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