Random Effects Model

Dependent Variable: VAT Gap

Sub-sample Α

Sub-sample Β

Independent Variable

Coefficient

p-value

Coefficient

p-value

Constant

0.005

(0.068)

0.933

−0.777

(0.142)

0.585

Corruption Perception Index

0.001**

(0.001)

0.019

−0.000

(0.001)

0.407

GDP per Capita

−1.59E−06*

(0.000)

0.000

1.00E−06

(0.000)

0.330

GINI Index

0.002***

(0.002)

0.109

−0.001

(0.002)

0.565

Shadow Economy (% GDP)

−0.392*

(0.150)

0.010

1.084*

(0.406)

0.009

Population

−8.83E−11

(0.000)

0.731

2.00E−10

(0.000)

0.878

Unemployment Rate

0.496*

(0.090)

0.000

0.927*

(0.151)

0.000

R²

0.34

0.477

Adjusted R²

0.296

0.442

F-statistic

7.45

13.842

F-statistic Probability

0.00

0.000

Durbin-Watson

0.994

0.958