Table 5.
ARDL regression with short-range and long-range equilibrium relationship.
| ΔL/GDP | Coef. | Std. err. | t-stats | P > t | |
|---|---|---|---|---|---|
| ADJ | ECT(-1) | -0.6756 | 0.1428 | -4.73 | 0.0000∗∗∗ |
| LR | lnFDI | 0.0038 | 0.0024 | 1.61 | 0.1190 |
| dlnTO | 0.2957 | 0.0761 | 3.89 | 0.0010∗∗∗ | |
| dlnED | 0.0008 | 0.0009 | 0.91 | 0.3690 | |
| dlnEXR | 0.1909 | 0.0646 | 2.96 | 0.0060∗∗∗ | |
| SR | _cons | 0.0159 | 0.0043 | 3.70 | 0.0071∗∗∗ |
Notes: ∗∗∗ denotes statistical significance at 1% level. ADJ denotes the error correction term, LR is the long-run estimation, while SR is the short-run estimates. ECT(-1) represents the error correction term. Legend: GDP is the real gross domestic product (constant 2010, US$), FDI signifies foreign direct investment net inflow (% of GDP), TO signifies trade as a % of GDP, ED is the external debt stocks and EXR represents the official.