Table 1 Durbin–Wu–Hauseman test of endogeneity
Variable | Developing countries (Pooled) | Upper-middle income | Lower-middle income | Low-income | High Income |
|---|---|---|---|---|---|
F-test (P-value) | F-test (P-value) | F-test (P-value) | F-test (P-value) | F-test (P-value) | |
CIR | −0.038 (0.957) | −1.380(0.143) | −0.87 (0.043) *** | 0.803 (0.031) *** | −0.654 (0.042) *** |
ROA | 56 (0.000) *** | 9.640 (0.006)*** | 37.49 (0.026) *** | −8.225 (0.001) *** | 4.677 (0.176) |
NII | −3.04 (0.082) | 0.453 (0.172) | −1.645 (0.068) | 0.470 (0.340) | 1.983 (0.565) |
CAR | −0.23 (0.632) | 12.89(0.145) | −2.128 (0.03) *** | −2.024 (0.78) | 8.566 (0.675) |
PCREDIT | 25.4 (0.000) *** | −0.34 (0.017) *** | 0.546 (0.048) *** | 0.949 (0.028) *** | 0.896 (0.0376)*** |
FGN | −0.23 (0.632) | −10.70 (0.00)*** | −0.17 (0.097) | 0.033 (0.109) | 0.678 (0.007)*** |
GDP | 0.03 (0.871) | −1.921 (0.194) | 9.69 (0.11) | −2.018 (0.001) *** | −5.678 (0.5765) |
UNEM | −6.3 (0.012) *** | 3.68 (0.031)*** | 1.161 (0.066) | −3.329 (0.007) *** | −2.487 (0.008) *** |
INFLATION | 1.5 (0.221) | −0.03 (0.786) | 21.920 (0.309) | 1.456 (0.003) *** | 0.048 (0.248) |
PCA_INST | 10.2 (0.001) *** | −11.16 (0.04)*** | 63.582 (0.297) | 5.583 (0.274) | 23.38 (0.0367) *** |