Table 5 Model 2 regression results using...

Table 5

Model 2 regression results using liquid liabilities as a threshold variable [DV: CPI]

	(1b)			(2b)			(3b)
	Venezuela			Congo			Angola
	OLS without threshold	Regime 1 LL < 19.50	Regime 2 LL > 19.50	OLS without threshold	Regime1 LL < 7.53	Regime 2 LL > 7.53	OLS without threshold	Regime 1 LL < 10.32	Regime 2 LL > 10.32
Constant	4.41* (2.30)	2.91* (1.40)	3.02* (1.20)	−1.82* (0.88)	2.60 (1.23)	−3.41* (1.62)	1.89* (0.86)	2.03* (0.69)	1.39* (0.56)
GDP	0.10* (0.05)	0.08* (0.03)	0.10* (0.03)	0.03* (0.01)	0.04* (0.02)	0.06* (0.03)	0.02* (0.01)	0.04* (0.02)	0.02* (0.01)
DC	0.04* (0.02)	0.02* (0.01)	0.04* (0.02)	0.08* (0.03)	0.02* (0.01)	0.08* (0.02)	0.04* (0.02)	0.11* (0.05)	0.14* (0.07)
INT	−0.02* (0.01)	−0.06* (0.02)	−0.08* (0.02)	−0.19* (0.06)	−0.12* (0.05)	−0.20* (0.09)	−0.02* (0.01)	−0.04* (0.02)	−0.06* (0.02)
TR	0.03 * (0.01)	0.05* (0.02)	0.13* (0.06)	0.02* (0.01)	0.08* (0.02)	0.11* (0.03)	0.03* (0.01)	0.05* (0.02)	0.08* (0.02)
R-sq	0.63	0.79	0.69	0.72	0.82	0.86	0.94	0.85	0.98
Heteroskedasticity test (p-value)	0.49	–	–	0.63	–	–	0.52	–	–
No. observation	28	10	18	28	12	16	28	13	15

	(1b)			(2b)			(3b)
	Venezuela			Congo			Angola
	OLS without threshold	Regime 1 LL < 19.50	Regime 2 LL > 19.50	OLS without threshold	Regime1 LL < 7.53	Regime 2 LL > 7.53	OLS without threshold	Regime 1 LL < 10.32	Regime 2 LL > 10.32
Constant	4.41* (2.30)	2.91* (1.40)	3.02* (1.20)	−1.82* (0.88)	2.60 (1.23)	−3.41* (1.62)	1.89* (0.86)	2.03* (0.69)	1.39* (0.56)
GDP	0.10* (0.05)	0.08* (0.03)	0.10* (0.03)	0.03* (0.01)	0.04* (0.02)	0.06* (0.03)	0.02* (0.01)	0.04* (0.02)	0.02* (0.01)
DC	0.04* (0.02)	0.02* (0.01)	0.04* (0.02)	0.08* (0.03)	0.02* (0.01)	0.08* (0.02)	0.04* (0.02)	0.11* (0.05)	0.14* (0.07)
INT	−0.02* (0.01)	−0.06* (0.02)	−0.08* (0.02)	−0.19* (0.06)	−0.12* (0.05)	−0.20* (0.09)	−0.02* (0.01)	−0.04* (0.02)	−0.06* (0.02)
TR	0.03 * (0.01)	0.05* (0.02)	0.13* (0.06)	0.02* (0.01)	0.08* (0.02)	0.11* (0.03)	0.03* (0.01)	0.05* (0.02)	0.08* (0.02)
R-sq	0.63	0.79	0.69	0.72	0.82	0.86	0.94	0.85	0.98
Heteroskedasticity test (p-value)	0.49	–	–	0.63	–	–	0.52	–	–
No. observation	28	10	18	28	12	16	28	13	15

	(4b)			(5b)			(6b)
	Egypt			Argentina			Mozambique
	OLS without threshold	Regime1 LL < 7.88	Regime 2 LL > 7.88	OLS without threshold	Regime 1 LL < 8.62	Regime 2 LL > 8.62	OLS without threshold	Regime 1 LL < 16.51	Regime 2 LL > 16.51
Constant	1.68 (1.32)	−2.12 (0.99)	−2.59 (1.40)	2.14* (1.10)	2.17 (1.5)	1.56 (0.56)	2.25* (0.87)	2.13* (0.92)	3.20 (1.20)
GDP	0.02* (0.01)	0.02* (0.01)	0.04* (0.02)	0.02* (0.01)	0.02* (0.01)	0.04* (0.01)	0.02* (0.01)	0.03* (0.01)	0.05* (0.02)
DC	0.04* (0.02)	0.03* (0.01)	0.08* (0.03)	0.08* (0.02)	0.10* (0.05)	0.21* (0.09)	0.02* (0.01)	0.02* (0.01)	0.08* (0.02)
INT	−0.07* (0.02)	−0.07* (0.02)	−0.16* (0.05)	−0.03* (0.01)	−0.03* (0.01)	−0.06* (0.03)	−0.06* (0.02)	−0.10* (0.04)	−0.19* (0.06)
TR	−0.02* (0.01)	−0.04* (0.02)	−0.06* (0.02)	0.04* (0.02)	0.04* (0.02)	0.05* (0.02)	−0.03* (0.01)	−0.06* (0.02)	−0.02* (0.01)
R-sq	0.74	0.72	0.86	0.68	0.72	0.89	0.65	0.89	0.92
Heteroskedasticity test (p-value)	0.69	–	–	0.52	–	–	0.89	–	–
No. observation	28	17	11	28	19	9	28	18	7

	(4b)			(5b)			(6b)
	Egypt			Argentina			Mozambique
	OLS without threshold	Regime1LL < 7.88	Regime 2LL > 7.88	OLS without threshold	Regime 1LL < 8.62	Regime 2LL > 8.62	OLS without threshold	Regime 1LL < 16.51	Regime 2LL > 16.51
Constant	1.68 (1.32)	−2.12 (0.99)	−2.59 (1.40)	2.14* (1.10)	2.17 (1.5)	1.56 (0.56)	2.25* (0.87)	2.13* (0.92)	3.20 (1.20)
GDP	0.02* (0.01)	0.02* (0.01)	0.04* (0.02)	0.02* (0.01)	0.02* (0.01)	0.04* (0.01)	0.02* (0.01)	0.03* (0.01)	0.05* (0.02)
DC	0.04* (0.02)	0.03* (0.01)	0.08* (0.03)	0.08* (0.02)	0.10* (0.05)	0.21* (0.09)	0.02* (0.01)	0.02* (0.01)	0.08* (0.02)
INT	−0.07* (0.02)	−0.07* (0.02)	−0.16* (0.05)	−0.03* (0.01)	−0.03* (0.01)	−0.06* (0.03)	−0.06* (0.02)	−0.10* (0.04)	−0.19* (0.06)
TR	−0.02* (0.01)	−0.04* (0.02)	−0.06* (0.02)	0.04* (0.02)	0.04* (0.02)	0.05* (0.02)	−0.03* (0.01)	−0.06* (0.02)	−0.02* (0.01)
R-sq	0.74	0.72	0.86	0.68	0.72	0.89	0.65	0.89	0.92
Heteroskedasticity test (p-value)	0.69	–	–	0.52	–	–	0.89	–	–
No. observation	28	17	11	28	19	9	28	18	7

	(7b)			(8b)			(9b)
	Nigeria			Yemen			Azerbaijan
	OLS without threshold	Regime1 LL < 17.69	Regime2 LL > 17.69	OLS without threshold	Regime1 LL < 11.62	Regime2 LL > 11.62	OLS without threshold	Regime1 LL < 13.69	Regime2 LL > 13.69
Constant	4.32* (2.25)	2.66* (1.23)	2.15 (1.20)	2.17 (1.42)	3.45* (2.55)	2.50* (1.25)	1.59 (0.96)	2.52* (0.85)	2.33* (1.56)
GDP	0.02* (0.01)	0.03* (0.01)	0.04* (0.02)	0.02* (0.01)	0.04* (0.02)	0.06* (0.03)	0.02* (0.01)	0.03* (0.01)	0.04* (0.02)
DC	0.03* (0.01)	0.04* (0.02)	0.10* (0.05)	0.09* (0.04)	0.03* (0.01)	0.04* (0.02)	0.11* (0.05)	0.08* (0.02)	0.12* (0.05)
INT	−0.06* (0.02)	−0.02* (0.01)	−0.04* (0.01)	−0.10* (0.05)	−0.08* (0.03)	0.10* (0.03)	−0.03* (0.01)	−0.06* (0.03)	−0.08* (0.02)
TR	0.02* (0.01)	0.11* (0.04)	0.15* (0.05)	0.03* (0.01)	0.03* (0.01)	0.04* (0.01)	0.09* (0.04)	0.05* (0.02)	0.04* (0.02)
R-sq	0.82	0.89	0.86	0.63	0.79	0.69	0.53	0.48	0.79
Heteroskedasticity test (p-value)	0.59	–	–	0.56	–	–	0.48	–	–
No. observation	28	14	14	28	17	11	28	12	16

	(7b)			(8b)			(9b)
	Nigeria			Yemen			Azerbaijan
	OLS without threshold	Regime1LL < 17.69	Regime2LL > 17.69	OLS without threshold	Regime1LL < 11.62	Regime2LL > 11.62	OLS without threshold	Regime1LL < 13.69	Regime2LL > 13.69
Constant	4.32* (2.25)	2.66* (1.23)	2.15 (1.20)	2.17 (1.42)	3.45* (2.55)	2.50* (1.25)	1.59 (0.96)	2.52* (0.85)	2.33* (1.56)
GDP	0.02* (0.01)	0.03* (0.01)	0.04* (0.02)	0.02* (0.01)	0.04* (0.02)	0.06* (0.03)	0.02* (0.01)	0.03* (0.01)	0.04* (0.02)
DC	0.03* (0.01)	0.04* (0.02)	0.10* (0.05)	0.09* (0.04)	0.03* (0.01)	0.04* (0.02)	0.11* (0.05)	0.08* (0.02)	0.12* (0.05)
INT	−0.06* (0.02)	−0.02* (0.01)	−0.04* (0.01)	−0.10* (0.05)	−0.08* (0.03)	0.10* (0.03)	−0.03* (0.01)	−0.06* (0.03)	−0.08* (0.02)
TR	0.02* (0.01)	0.11* (0.04)	0.15* (0.05)	0.03* (0.01)	0.03* (0.01)	0.04* (0.01)	0.09* (0.04)	0.05* (0.02)	0.04* (0.02)
R-sq	0.82	0.89	0.86	0.63	0.79	0.69	0.53	0.48	0.79
Heteroskedasticity test (p-value)	0.59	–	–	0.56	–	–	0.48	–	–
No. observation	28	14	14	28	17	11	28	12	16

	(10b)
	Ghana
	OLS without threshold	Regime1 LL < 13.00	Regime 2 LL > 13.00
Constant	2.26* (1.20)	1.86 (0.82)	2.15* (0.89)
GDP	0.02* (0.01)	0.05* (0.01)	0.04* (0.01)
DC	0.09* (0.04)	0.02* (0.01)	−0.06* (0.03)
INT	0.03* (0.01)	0.05* (0.02)	0.11* (0.04)
TR	−0.04* (0.02)	−0.08* (0.02)	−0.09* (0.04)
R-sq	0.57	0.92	0.98
Heteroskedasticity test (p-value)	0.86	–	–
No. observation	28	18	10

	(10b)
	Ghana
	OLS without threshold	Regime1LL < 13.00	Regime 2LL > 13.00
Constant	2.26* (1.20)	1.86 (0.82)	2.15* (0.89)
GDP	0.02* (0.01)	0.05* (0.01)	0.04* (0.01)
DC	0.09* (0.04)	0.02* (0.01)	−0.06* (0.03)
INT	0.03* (0.01)	0.05* (0.02)	0.11* (0.04)
TR	−0.04* (0.02)	−0.08* (0.02)	−0.09* (0.04)
R-sq	0.57	0.92	0.98
Heteroskedasticity test (p-value)	0.86	–	–
No. observation	28	18	10

Note(s): The standard errors are reported in parentheses (white corrected for heteroskedaticity). The results correspond to the trimming percentage of 15%. Asterisks * denote significance of at least a 10% critical value

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