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Table 4 Results using GDP as an alternative measurement of market size

From: Does distance matter in foreign direct investment sub-national location choice? Evidence from China

Y: ln(FDIijt + 1) OLS (Pooled) OLS (Random effect) Tobit Heckman PPML
lnDISTijt 1.212*** (13.87) 0.947*** (4.46) 1.159*** (4.08) 0.987*** (10.82) 0.698*** (11.32)
CULTij 1.320*** (5.30) 2.481* (2.32) 2.701 (1.91) 1.185*** (4.69) 0.260 (1.26)
SIMIijt–1 − 5.171*** (−6.83) −7.528*** (−6.03) −10.42*** (− 6.02) − 0.445 (− 1.19) 7.398*** (6.98)
lnGDPit–1 0.502*** (7.45) 0.230 (1.62) 0.275 (1.45) 0.398*** (5.67) 0.638*** (7.51)
lnGDPjt–1 0.882*** (5.35) 0.878*** (3.60) 1.207*** (3.63) −0.100 (− 0.86) − 0.947*** (−5.68)
lnGDP_pcit–1 2.007*** (10.12) 1.147*** (4.53) 1.493*** (4.33) 1.646*** (14.61) 1.520*** (9.94)
lnGDP_pcjt–1 −3.136*** (− 30.08) − 3.037*** (− 10.24) −3.794*** (−9.65) −2.021*** (− 12.95) −0.971*** (− 19.81)
RDit–1 3.560*** (6.97) 4.198*** (3.68) 5.296*** (3.44) 1.534*** (6.00) −1.152** (− 3.14)
BAjt–1 1.159*** (4.85) 0.129 (0.53) 0.199 (0.59) 0.669*** (6.21) 0.319 (1.00)
Constant −17.42*** (−5.98) − 1.29 (−0.38) −6.276 (− 1.45) −12.65*** (− 5.88) 2.574 (1.34)
Observation 4351 4351 4351 4427 4351
  1. Notes. The t statistics are in parentheses * p < 0.1, ** p < 0.05, *** p < 0.01