Variable names

Label of variable

Source of data

pib_hab

Gross domestic product per capita in purchasing power parity PPP at constant price base 2010

World Development Indicators (WDI)

ide

Inward foreign direct investment, expressed in millions of dollars

UNCTADSTAT

fbcf

Gross fixed capital formation, expressed as a percent of GDP, used as a proxy for physical capital.

WDI

ouv_com

Degree of trade openness of the economy (the sum of the volume of exports and imports of goods and services) as a% of real GDP.

WDI

con_pub

Government final consumption expenditure in percent of GDP

WDI

Pop_urb

Urban population, in % of total population

WDI

yrs_sch

Human capital index, based on the average years of schooling (Barro/Lee, 2010) .

Penn world Table (PWT)

IDE*yrs_sch

interaction term between investment between human capital and FDI

WDI and PWT