Dependent Variables | |||||||
Call Bid-Ask Spread | (35) | (36) | |||||
Put Bid-Ask Spread | (37) | ||||||
Volume | (38) | ||||||
Open Interest | (39) | ||||||
Implied Volatility | (40) | (41) | |||||
Independent Variables | |||||||
Log (GDP) | 3.04e−11 | −2.37e−11 | 0.0000235 | 0.0001685 | 1.03e−13 | ||
(1.85e−11) | (2.16e−11) | (8.43e−06) | (0.0007229) | (4.34e−14) | |||
GDP per capita | −0.0008962 | −0.0014959 | 5,523,282 | 5,829,452 | −6.54e−06 | ||
(0.0020782) | (0.0015178) | (4,729,704) | (23,218.79) | (1.33e−06) | |||
Unemployment (%) | −3.80e−06 | −8.84e−07 | 0.0864748 | 4,876,369 | −2.24e−09 | ||
(5,222,666) | (1,603,924) | (25,034.4) | (−9.18e+07) | (−0.0165008) | |||
Log (Population) | 4,066,669 | 4,966,175 | 2,286,598 | 1.50e+08 | 0.0036199*** | ||
(−3.80e−06) | (−8.84e−07) | (0.0864748) | (4,876,369) | (−2.24e−09) | |||
Public Debt % Of GDP | −0.7869933 | −1,109,088 | −80,727.04 | 8,956,468 | −0.0035088 | ||
(1,156,745) | (0.6399793) | (202,937.3) | (1.62e+07) | (0.001445) | |||
Bank Capital to Assets Ratio (%) | −9722102 | 1,473,033*** | −551,979*** | 1.22e+08 | −0.0234583 | ||
(1,444,585) | (1,206,198) | (384,295) | (2.16e+08) | (0.0132522) | |||
Inflation (%) | −0.3084574 | 2,845,764 | −1,635,805 | 3.79e+07 | 0.0004861 | ||
(3,139,013) | (5,654,011) | (1,312,211) | (1.43e+08) | (0.006932) | |||
Economic Freedom | −1561838 | 0.6572755 | −1,082,200** | −2.31e+07 | 0.0008498 | ||
(1,899,719) | (2,157,497) | (563,528.6) | (4.53e+07) | (0.0031195) | |||
Interest Rates (Gov Bonds) 10 Year | −4,490,122** | −4111495** | −519,891.5 | −3.63e+07 | 0.0145965 | ||
(1,242,055) | (1,062,798) | (1,343,819) | (2.60e+08) | (0.0095867) | |||
Freedom from Corruption | −2,639,384 | −0.853028** | −1,060,994 | 2.93e+07 | −0.000271 | ||
(5,533,023) | (2,822,251) | (773,117.1) | (2.90e+07) | (0.0065121) | |||
Fiscal Freedom | −5,052,756 | −0.3909706 | 1,094,639 | 1.03e+08 | −0.0089019 | ||
(1,102,719) | (7,730,906) | (3,196,039) | (1.71e+08) | (0.0080985) | |||
Business Freedom | −1,249,726 | −1,389,615 | 1,539,349*** | 2.99e+07 | −0.0077038** | ||
(3,928,377) | (2,165,426) | (770,675) | (5.26e+07) | (0.0050599) | |||
Investment Freedom | −2,063,552 | −0.745197 | −488,897** | −3.10e+07 | −0.0070047 | ||
(2,976,293) | (2,717,522) | (915,335.9) | (3.69e+07) | (0.0050848) | |||
Income Tax Rate (%) | −6,182,334 | −2,546,851 | 3,448,664 | 1.66e+08 | −0.0103391 | ||
(8,333,543) | (9,941,428) | (4,310,762) | (2.80e+08) | (0.0067985) | |||
Corporate Tax Rate (%) | −9,746,373 | −3,599,357 | 2,039,977 | 1.74e+08 | 0.00131 | ||
(8,680,848) | (112,352) | (2,215,022) | (1.56e+08) | (0.0107205) | |||
Financial Freedom | −2,429,196 | −4,778,613 | 4,158,051 | 3.32e+07 | −0.0062963 | ||
(1,186,915) | (7,365,695) | (3,084,875) | (1.63e+08) | (0.0148224) | |||
Market Capitalization of Listed Domestic Companies | 5.74e−11 | 1.36e−11 | 1.42e−06 | 0.0000534 | −8.55e−14 | ||
(5.30e−11) | (2.71e−11) | (0.0000116) | (0.0010772) | (6.54e−14) | |||
S&P Global Equity Indices (Annual % Change) | −0.7461294 | −0.6370572 | 172,094.7 | 2,014,576 | 0.0002363 | 0.0006007** | |
(0.9133799) | (0.5709311) | (265,815.4) | (8,646,852) | (0.000664) | (0.0002567) | ||
Stocks Traded, Turnover Ratio of Domestic Shares (%) | −6.92e−11** | −1.45e−11 | −0.0000349 | 0.0004817 | 2.68e−13 | ||
(6.65e−11) | (8.38e−11) | (0.0000191) | (0.0014138) | (8.91e−14) | |||
Stocks Traded, Total Value | 1.56e−11*** | 0.42912** | 0.0003415 | 267,631.8 | −913,594.4 | −0.0012293 | |
(1.29e−11) | (0.5041878) | (0.574734) | (153,251.3) | (9,417,680) | (0.0006659) | ||
Constant | 2,557,756*** | 1,782,733*** | 1,106,168** | −5.97e+08*** | −2.38e+10 | 3739635* | 0.3100664 *** |
(8.78505) | (1,397,387) | (1,382,201) | (2.73e+08) | (2.46e+10) | (0.8271702) | (0.0017345) |