Table 4 FDI, digitalization and income... | Emerald Publishing

Table 4

FDI, digitalization and income inequality (30 developed countries)

Digitalization = individuals using the Internet: 2S-GMM estimates
Dependent variable: GINI index (income inequality)
Variables	GOV1	GOV2	GOV3	GOV4	GOV5	GOV6
Gini index (−1)	0.929^*** (0.009)	0.932^*** (0.012)	0.886^*** (0.001)	0.937^*** (0.013)	0.936^*** (0.010)	0.912^*** (0.010)
FDI	0.006^*** (0.001)	0.004^*** (0.001)	0.004^*** (0.001)	0.007^*** (0.001)	0.006^*** (0.001)	0.005^*** (0.001)
Digitalization	−0.005^*** (0.009)	−0.003 (0.002)	−0.008^*** (0.001)	−0.004^*** (0.001)	−0.004^*** (0.000)	−0.007^*** (0.001)
FDI* Digitalization	−0.0001^*** (0.000)	−0.000^*** (0.000)	−0.000^*** (0.000)	−0.0001^*** (0.000)	−0.0001^*** (0.000)	−0.0001^*** (0.000)
Governance	−0.161^*** (0.033)	0.202 (0.339)	−0.524^*** (0.076)	−0.037^** (0.010)	−0.115^** (0.050)	−0.586^** (0.233)
Economic growth	0.002^*** (0.000)	−0.000 (0.002)	0.002^*** (0.000)	0.002^** (0.000)	0.002^*** (0.000)	0.003^*** (0.000)
Education	−0.001 (0.004)	0.022 (0.013)	0.014^* (0.008)	0.002 (0.006)	0.001 (0.004)	0.002 (0.006)
Instrument	30	30	30	30	30	30
Country/Observation	30/510	30/510	30/510	30/510	30/510	30/510
AR(2) test	0.201	0.204	0.231	0.195	0.198	0.217
Sargan test	0.579	0.552	0.570	0.568	0.575	0.482
Hansen test	0.786	0.804	0.718	0.800	0.799	0.808

Digitalization = individuals using the Internet: 2S-GMM estimates
Dependent variable: GINI index (income inequality)
Variables	GOV1	GOV2	GOV3	GOV4	GOV5	GOV6
Gini index (−1)	0.929^*** (0.009)	0.932^*** (0.012)	0.886^*** (0.001)	0.937^*** (0.013)	0.936^*** (0.010)	0.912^*** (0.010)
FDI	0.006^*** (0.001)	0.004^*** (0.001)	0.004^*** (0.001)	0.007^*** (0.001)	0.006^*** (0.001)	0.005^*** (0.001)
Digitalization	−0.005^*** (0.009)	−0.003 (0.002)	−0.008^*** (0.001)	−0.004^*** (0.001)	−0.004^*** (0.000)	−0.007^*** (0.001)
FDI* Digitalization	−0.0001^*** (0.000)	−0.000^*** (0.000)	−0.000^*** (0.000)	−0.0001^*** (0.000)	−0.0001^*** (0.000)	−0.0001^*** (0.000)
Governance	−0.161^*** (0.033)	0.202 (0.339)	−0.524^*** (0.076)	−0.037^** (0.010)	−0.115^** (0.050)	−0.586^** (0.233)
Economic growth	0.002^*** (0.000)	−0.000 (0.002)	0.002^*** (0.000)	0.002^** (0.000)	0.002^*** (0.000)	0.003^*** (0.000)
Education	−0.001 (0.004)	0.022 (0.013)	0.014^* (0.008)	0.002 (0.006)	0.001 (0.004)	0.002 (0.006)
Instrument	30	30	30	30	30	30
Country/Observation	30/510	30/510	30/510	30/510	30/510	30/510
AR(2) test	0.201	0.204	0.231	0.195	0.198	0.217
Sargan test	0.579	0.552	0.570	0.568	0.575	0.482
Hansen test	0.786	0.804	0.718	0.800	0.799	0.808

Note(s): ^***, ^**, ^*report significance level at 1%, 5%, and 10%

Source(s): Own elaboration