Skip to main content

Table 10 Results of test from error correction model

From: Does innovation promote economic growth? Evidence from European countries

Countries Granger causality test between
RRD and GDP HTE and GDP STJ and GDP
Short-run Long-run Short-run Long-run Short-run Long-run
Austria 3.20**/0.40 NA/NA 0.89/0.63 −3.18**/−0.99 1.64/6.54* −1.53/−2.13
Belgium 13.6*/1.19 NA/NA 3.40*/0.48 NA/NA 0.32/5.03* −1.29/−2.85
Czech Republic 5.14*/0.41 NA/NA 1.76/0.01 NA/NA 1.27/0.43 NA/NA
Denmark 0.46/5.28* NA/NA 0.51/0.19 −1.92/−2.26 0.06/21.1* −1.96/−4.13*
Finland 0.07/25.3* NA/NA 18.3*/3.73** −3.46**/−0.32 36.8*/0.92 −6.10/−2.12
France 3.12**/2.12 −2.35/−1.13 3.41*/0.09 NA/NA 8.21*/0.44 −0.66/−5.31*
Germany 5.31*/0.18 NA/NA 12.2*/3.07** −5.94*/−1.82 0.40/4.06* −2.65/−1.93
Greece –/– –/– 1.33/1.85 –/– 8.49*/5.33* –/–
Hungary 7.12*/0.46 −4.14*/−1.26 1.20/19.6* −2.25/−4.37* 5.29*/0.97 NA/NA
Ireland 0.99/3.62** NA/NA 18.1*/0.26 NA/NA 2.02/4.19* NA/NA
Italy 4.43*/0.47 NA/NA 2.10/9.59* −3.64*/−2.07 0.02/11.4 −0.65/−4.68*
Netherlands 1.34/6.33* NA/NA 7.60*/1.18 0.22/−2.65 3.51*/5.59* NA/NA
Norway 0.01/5.86* NA/NA 0.90/4.97* −0.16/−3.90* 2.89**/6.04* NA/NA
Poland 0.75/5.68* −0.86/−1.90 0.67/3.03** NA/NA 3.48**/3.05** NA/NA
Portugal 9.83*/1.46 NA/NA 1.33/3.53* NA/NA 17.9*/3.57** −4.52*/−1.35
Romania 3.84*/3.74* −7.97*/1.96 0.50/3.66* −1.26/−3.61** 3.87*/1.85 NA/NA
Spain 0.15/6.46* −0.62/−3.14 1.04/11.3* NA/NA 5.58*/2.05 −1.15/−4.73*
Sweden 1.45/0.15 NA/NA 3.26*/0.87 −3.52**/−0.66 8.15*/4.55* NA/NA
United Kingdom 9.47*/2.25 NA/NA 25.9*/0.82 NA/NA 1.14/9.10* NA/NA
European panel 3.03*/2.95* −6.15*/−1.23 7.95*/4.41* −6.31*/−1.69 2.13/6.88* −7.09*/−2.56
  1. RRD is the researchers in research and development activities; HTE is the high-technology exports; STJ is the scientific and technical journal articles; and GDP is per capita economic growth. The short-run causality is detected through the Wald statistics, while long-run causality is detected through the statistical significance of error correction term. For both short-run and long-run, the first value represents GDP as the dependent variable and the second value represents innovation (RRD/HTE/STJ) as the dependent variable
  2. *Indicates the statistical significance at 5% level; **indicates the statistical significance at 10% level