128
TABLE 1. Growth and Uphill Flows of Sophisticated Exports: Cross-Sectional Regressions Using Scale-Free Measure of Uphill Flows (dependent variable: annual average growth rate, 1994–2003) Variable Initial per capita GDP (log) Uphill flows for 1990 (median sophistication) Years of primary schooling Capital stock Institutional quality (rule of law)
(1)
(2)
⫺0.013* (0.007) 0.017*** (0.005) ⫺0.004 (0.013) ⫺0.000 (0.006) 0.009*** (0.003)
⫺0.007 (0.005) 0.011*** (0.003) ⫺0.015 (0.009) 0.000 (0.005) 0.008*** (0.002)
Uphill flows for 1990 (75th percentile sophistication)
(3)
(4)
(6)
⫺0.007 (0.005)
⫺0.003 (0.005)
⫺0.008 (0.005)
⫺0.004 (0.007)
⫺0.015 (0.009) ⫺0.000 (0.005) 0.008*** (0.003) 0.011*** (0.003)
⫺0.003 (0.011) ⫺0.001 (0.005) 0.008*** (0.003)
⫺0.015 (0.009) ⫺0.000 (0.005) 0.009*** (0.003)
⫺0.011 (0.010) ⫺0.000 (0.005) 0.008*** (0.003)
Uphill flows for 1990 of sophisticated relative to unsophisticated products Sophistication of exports
(7) ⫺0.009 (0.006) 0.014* (0.008) ⫺0.015* (0.009) 0.000 (0.005) 0.008*** (0.002)
0.007* (0.004) 0.013** (0.006) 0.011*** (0.004)
Average income level of destination of sophisticated (median) exports Uphill flows for 1995 (median sophistication) Number of observations Adjusted R2 F-test
(5)
58
56
56
0.260 5.60
0.321 7.19
0.303 8.33
0.007** (0.003) 60 0.224 7.01
56
56
55
0.308 6.01
0.205 5.80
0.328 5.00
Source: Authors’ calculations. Note: Numbers in parentheses are robust standard errors. Columns (2)–(7) exclude China and Ireland. Column (7) is an instrumental variable (IV) estimation with population and area (logs) serving as instruments for uphill flows. *p ⬍ .1
**p ⬍ .05
***p ⬍ .01