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<u>Table 7. Three Stage Least Squares Estimation Results</u>

||(1)|(2)|(3)|(4)|(5)|(6)|(7)|
|---|---|---|---|---|---|---|---|
|Market share equation 1/||||||||
|<br>*<br>_j_<br>_~~p~~_|-0.350 <sup>***</sup>|-0.468 <sup>***</sup>|-0.434 <sup>***</sup>|-0.326 <sup>***</sup>|-0.242 <sup>***</sup>|-0.346 <sup>***</sup>|0.107|
||(0.048)|(0.060)|(0.051)|(0.048)|(0.057)|(0.048)|(0.140)|
|Constant|-7.141 <sup>***</sup><br>|-6.606 <sup>***</sup><br>|-6.879 <sup>***</sup><br>|-7.634 <sup>***</sup><br>|-7.799 <sup>***</sup><br>|-7.183 <sup>***</sup><br>|-9.302 <sup>***</sup><br>|
||(0.336)|(0.373)|(0.367)|(0.338)|(0.420)|(0.337)|(0.929)|
|Price equation 2/||||||||
|D(year<1997)|-0.144|-0.842|-0.439|-0.152|-0.017|-0.365||
||(0.420)|(0.527)|(0.454)|(0.441)|(0.484)|(0.490)||
|ΔER|0.008|-0.003|0.008|0.004|0.010|0.0002|0.007|
||(0.011)|(0.012)|(0.011)|(0.011)|(0.011)|(0.010)|(0.018)|
|_GFCF_|-2.661 <sup>***</sup>|||||||
||(0.859)|||||||
|Public_GFCF_||-1.224 <sup>***</sup>||||||
|||(0.382)||||||
|Share of paved roads|||-0.566 <sup>**</sup>|||||
||||(0.294)|||||
|Road density 3/||||-0.218||||
|||||(0.250)||||
|Electricity consumption|||||-0.759 <sup>**</sup>|||
||||||(0.372)|||
|Teledensity||||||-0.203<br>||
|||||||(0.278)||
|Secondary school enrollment rate|||||||-14.833 <sup>***</sup><br>(4.736)|
|ln_GDPpercapita_(-1)|1.059 <sup>***</sup>|0.550 <sup>**</sup>|0.869 <sup>***</sup>|0.969 <sup>***</sup>|1.667 <sup>***</sup>|1.201 <sup>***</sup>|5.224 <sup>***</sup>|
||(0.146)|(0.253)|(0.178)|(0.160)|(0.359)|(0.313)|(1.285)|
|ln_s j_|-0.635 <sup>***</sup>|-0.779 <sup>***</sup>|-0.787 <sup>***</sup>|-0.671 <sup>***</sup>|-0.440 <sup>***</sup>|-0.649 <sup>***</sup>||
||(0.070)|(0.092)|(0.081)|(0.081)|(0.082)|(0.070)||
|Constant|-0.065|-3.772|-5.982 <sup>***</sup>|-7.897 <sup>***</sup>|-5.138 <sup>***</sup>|-8.341 <sup>***</sup>|25.522 <sup>**</sup>|
||(2.923)|(2.555)|(1.737)|(1.627)|(1.851)|(1.623)|(10.407)|
|Infrastructure provision equation 4/||||||||
|ln_GDPpercapita_(-1)|0.034 <sup>***</sup>|-0.066 <sup>*</sup>|0.253 <sup>***</sup>|0.178 <sup>***</sup>|0.836 <sup>***</sup>|0.970 <sup>***</sup>|0.269 <sup>***</sup>|
||(0.009)|(0.040)|(0.032)|(0.031)|(0.024)|(0.030)|(0.017)|
|Constant|2.755 <sup>***</sup>|2.073 <sup>***</sup>|1.609 <sup>***</sup>|-0.910 <sup>***</sup>|0.912 <sup>***</sup>|-2.746 <sup>***</sup>|2.161 <sup>***</sup>|
||(0.075)|(0.303)|(0.260)|(0.253)|(0.201)|(0.247)|(0.139)|
|Obs|468|294|319|375|387|475|152|
|Chi-square statistics||||||||
|<br>Market share equation|53.10 <sup>***</sup>|61.15 <sup>***</sup>|72.74 <sup>***</sup>|45.90 <sup>***</sup>|17.97 <sup>***</sup>|52.61 <sup>***</sup>|0.58|
|<br>Price equation|124.09 <sup>***</sup>|81.22 <sup>***</sup>|113.20 <sup>***</sup>|96.51 <sup>***</sup>|66.08 <sup>***</sup>|122.85 <sup>***</sup>|58.39 <sup>***</sup>|
|Infrastructure provision equation|13.27 <sup>***</sup>|2.71 <sup>*</sup>|63.41 <sup>***</sup>|33.28 <sup>***</sup>|1203.95 <sup>***</sup>|1036.79 <sup>***</sup>|262.36 <sup>***</sup>|
|Weather variables||||||||
|Temperature|No|No|No|No|No|No|No|
|Precipitation|No|No|No|No|No|No|Yes|

Source: Author’s calculations.

1/ The dependent variable is ln _sjt_ –ln _s0t_ . * 2/ The dependent variable is _~~p~~ j_ .

3/ The logarithm is not taken for the road density variable.

4/ The dependent variable is each infrastructure variable in the price equation.