Table 4.
Two-stage least square results for endogeneity test
| Variable | Panel | South East Asia | South Asia | East Asia |
|---|---|---|---|---|
| 1st stage: Dependent variable = Economic growth | ||||
| HC | 2.072*** (0.048) | 1.351*** (0.0833) | 0.813*** (0.0439) | 2.236*** (0.0752) |
| lnREC | − 0.147*** (0.0344) | − 0.723*** (0.0466) | 0.352*** (0.0459) | 0.162*** (0.0493) |
| Constant | 4.037*** (0.212) | 8.819*** (0.364) | 3.496*** (0.214) | 1.983*** (0.385) |
| Obs | 435 | 174 | 116 | 87 |
| R2 | 0.811 | 0.832 | 0.854 | 0.917 |
| Variable | Panel | South E Asia | South Asia | East Asia |
| 2nd stage: Dependent variable = Environmental efficiency | ||||
| lnT | − 0.232*** (0.0762) | − 0.2141*** (0.137) | − 0.311*** (0.0826) | − 0.0384*** (292.5) |
| lnT2 | 0.00606*** (0.00356) | 0.013 (0.0103) | 0.0124*** (0.00295) | 2.237 (9.373) |
| lnPGDP | 0.715** (0.551) | − 0.682* (0.382) | 0.651 (0.934) | − 184.7 (761.2) |
| lnPGDP2 | − 0.0339*** (0.0291) | 0.0429* (0.0232) | − 0.0483 (0.0616) | 2.264*** (38.08) |
| lnFDI | 0.00845*** (0.00987) | − 0.0342** (0.0157) | − 0.0164*** (0.0185) | − 0.558 (2.206) |
| HC | 0.00138** (0.0942) | 0.0617 (0.0381) | 0.135*** (0.0458) | 1.774** (71.67) |
| lnREC*lnT | 0.00693*** (0.00147) | − 0.00069 (0.00541) | 0.0160** (0.0063) | − 0.261 (1.085) |
| Constant | − 1.72 (1.865) | 3.144** (1.315) | − 0.464 (3.245) | 359.6 (1455) |
| Obs | 435 | 174 | 116 | 87 |
| R2 | 0.56 | 0.39 | 0.76 | 0.44 |
Note: aStandard errors are in parentheses. b***, **, * signify 1%, 5%, 10% significance, respectively.