Table 2.
Description of variables used
| Variable | Description | Source/notes |
|---|---|---|
| ID | Enterprise ID | Original variable, ISSER-IGC panel |
| Year | Calendar year (2011–2015) | Original variable, ISSER-IGC panel |
| Industry | Industry code ISIC rev. 4 (categorical, 1–24) | Original variable, ISSER-IGC panel |
| Sector | Broad industry (categorical, 1–4) | industry grouped into four larger categories (food and beverages, textiles and clothing, wood processing, other manufacturing) |
| Location | City in which the enterprise is located (categorical, 1–4) | Original variable, ISSER-IGC panel |
| Female | Primary owner of enterprise is female (binary) | 0: male; 1: female |
| Age | Age of enterprise (years) | year – year of initial production (as reported in the survey) |
| Size | Size of enterprise in terms of employment (categorical, 0–2) | 0: micro (1–5 employees); 1 small (6–19 employees); 2 medium (20 + employees) |
| Exporter | Enterprise exports some of its production output (binary) | 0: no export; 1: export |
| Foreign | At least 10% of the enterprise is owned by a foreign owner (binary) | 0: not foreign-owned 1: foreign-owned |
| tfp_ac | Total Factor Productivity of enterprise (logarithm) | Estimated by the Ackerberg-Caves-Frazer (ACF) estimator |
| tfp_lp | Total Factor Productivity of enterprise (logarithm) | Estimated by the Levinsohn-Petrin estimator |
| tfp_wr | Total Factor Productivity of enterprise (logarithm) | Estimated by the Wooldridge estimator |
| Finance constraint (FC) | Access to finance as business constraint (rank variable, 1–9, higher indicates more severe constraint) | The variable is based on the survey question, “Please rank the following nine obstacles in terms of their importance to the enterprise’s operations: access to finance, taxation, customs and regulation, security, bribery/informal payments, access to land, access to electricity, access to other infrastructure, market access.” |
| FC categories | Access to finance as business constraint (categorical, 0–2) | It is generated from the finance constraint variables. It takes value 0 if the finance constraint is 1, 2 or 3 (low), value 1 if the finance constraint is 4, 5 or 6 (medium), and 2 if the finance constraint is 7, 8 or 9 (high) |
| FS bank loan | Bank loan from formal institutions (% of working capital) | FS variables are based on the survey question, “What percentage of the enterprise’s working capital was obtained from the following sources?” |
| FS own resources | Personal savings and retained earnings (% of working capital) | |
| FS friends and relatives | Loan from friends and relatives (% of working capital) | |
| FS suppliers credit | Suppliers credit (% of working capital) | |
| FS equity and bond | Issuance of equity and bonds (% of working capital) | |
| FS other | Other finance sources (% of working capital) | |
| Variables used in TFP estimation | ||
| Y | Value added of production (2006 cedis) | Generated as the value of production output minus the value of raw materials used in production (both from the ISSER-IGC panel, deflated by PPI) |
| L | Number of workers (both production and non-production) | Original variable, ISSER-IGC panel |
| K | Estimated resale value of capital (land, buildings, machinery and equipment) (2006 cedis) | Original variable, ISSER-IGC panel, deflated by PPI |
| PPI | Producer Price Index (2006 = 1) for the manufacturing sector in Ghana | Ghana Statistical Services |