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A Systems View Across Time and Space

Table 8 SEM regression result (dependent variable enterprises’ innovativeness)

From: Effect of corruption and political instability on enterprises’ innovativeness in Ethiopia: pooled data based

Dependent variables

Explanatory variables

Coefficient

Std. error

Enterprises’ innovativeness (product and/or process)

Corruption

0.1596***

0.0267

Political instability

− 0.0683**

0.0338

Power outage

0.1492***

0.0379

Time and capital for formal research

0.2236***

0.0389

Access to training

0.1997***

0.0317

Internet access

0.1898***

0.0273

Proportion of high school graduate workers

0.0097**

0.0043

Access to foreign market

0.1190**

0.0459

Type of enterprise

0.0531***

0.0143

Number of total employees

− 0.0005*

0.0003

Working experience in the enterprise

− 0.0014

0.0019

City where the enterprise planted

− 0.0484*

0.0261

Size of the enterprise

− 0.0155

0.0147

Working capital from non-Bank

0.0012

0.0017

Perception for tax

0.0332

0.0264

Constant

0.1245

0.0797

Political instability

Corruption

0.2730***

0.0196

Constant

0.0609***

0.0130

Var (e. enterprises’ innovation)

0.2014

0.0077

Var (e. political instability)

0.1300

0.0050

LR test of saturated: χ2

23.28

Prob > χ2

0.000

Number of enterprises

1380

  1. Note: innovation in this model refers to both product and process innovations
  2. ***, **, and * refers 1, 5, and 10% level of significance