The effect of internal forced displacement on small and medium enterprises in the host community, in case of Amhara region, Ethiopia

Journal of Innovation and Entrepreneurship

A Systems View Across Time and Space

Table 2 Effect of forced internal displacement on input demands

Dependent variable in logs	Small enterprises		Medium enterprises
Dependent variable in logs	Permanent employment	Wages	Permanent employment	Wages
Panel A: OLS
Percentage share of IDPs	0.245	− 0.021*	0.0062	0.047
	(0.089)	(0.003)	(0.063)	(0.009)
Adj. R. squared	0.21	0.18	0.21	0.16
Panel B: 2SLS
Percentage share of IFDP	0.009	− 0.0018	0.352	− 0.025
	(0.008)	(0.246)	(0.087)	(0.003)
Panel C:
First stage dependent variable	Percentage share of IDPs
Predicted internal displaced inflows	− 0.0025***	− 0.084***	0.053***	0.046***
	(0.001)	(0.025)	(0.014)	(0.003)
First stage F. Statistic	19.05	19.05	20.24	20.24
Observations (for all panels)	1025	1025	1101	1101

Each coefficient corresponds to a separate regression and all panels include controls for zone and year fixed effects. The standard errors clustered at the zonal level are shown in the parenthesis. *** Represents the significant level at 1%, ** represents significant at 5% and * represents significance at 10*. The estimate controls age, education and marital status