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Table 8 Instrumental variables (2SLS) regressions

From: Innovation and employment growth: evidence from manufacturing firms in Africa

  (1) (2) (3) (4)
Employment growth Employment growth Employment growth Employment growth
Process (1 = yes) 0.03   − 0.0001  
(0.0627)   (0.0659)  
Product (1 = yes)   0.03   0.002
  (0.0574)   (0.0601)
SalesG 0.04*** 0.04*** 0.04*** 0.04***
(0.0107) (0.0106) (0.0114) (0.0113)
Productivity − 0.03*** − 0.03*** − 0.03*** − 0.03***
(0.00453) (0.00449) (0.00475) (0.00468)
Retained 0.003 0.0005 0.004 0.001
(0.0196) (0.0192) (0.0202) (0.0200)
Size (small)
 Medium 0.09*** 0.09*** 0.09*** 0.08***
(0.0153) (0.0150) (0.0160) (0.0156)
 Large 0.1*** 0.1*** 0.1*** 0.1***
(0.0205) (0.0204) (0.0214) (0.0210)
lnAge − 0.04*** − 0.04*** − 0.05*** − 0.05***
(0.00880) (0.00877) (0.00908) (0.00906)
lnMexperience 0.007 0.008 0.007 0.008
(0.00918) (0.00911) (0.00961) (0.00954)
Foreign (1 = yes) − 0.001 − 0.001 − 0.008 − 0.008
(0.0162) (0.0161) (0.0170) (0.0169)
Government (1 = yes) 0.06 0.07+ 0.07+ 0.07+
(0.0383) (0.0380) (0.0397) (0.0395)
Millioncity (1 = yes) − 0.006 − 0.005 − 0.01 − 0.01
(0.0133) (0.0132) (0.0137) (0.0137)
Exporting (1 = yes) − 0.005 − 0.004 − 0.009 − 0.009
(0.0160) (0.0160) (0.0166) (0.0167)
Electricity (1 = yes)    − 0.02 − 0.02
   (0.0162) (0.0164)
Bureaucracy    − 0.0006* − 0.0005*
   (0.000287) (0.000280)
Bribe    0.0007 0.0007
   (0.000959) (0.000956)
Competition    − 0.008 − 0.010
   (0.0137) (0.0141)
Country fixed effects Yes Yes Yes Yes
ISIC fixed effects Yes Yes Yes Yes
Constant 0.4*** 0.4*** 0.4*** 0.5***
(0.0538) (0.0520) (0.0555) (0.0549)
N 5735 5764 5313 5342
R 2 0.059 0.061 0.062 0.063
Adj. R2 0.050 0.052 0.051 0.052
Prob > F (First stage) 0.0000 0.0000 0.0000 0.0000
Durbin (score) chi(2) 0.8313 0.7520 0.6591 0.4036
Wu-Hausman 0.8322 0.7532 0.6610 0.4064
  1. Note: (1) All models are estimated with standard errors adjusted for clusters using unique firm identifiers. (2) Standard errors in parentheses. (3) Significance levels: +p < 0.10, *p < 0.05, ***p < 0.001
  2. Source: Authors’ own computation based on WBES, 2018