Low income Middle income
Long run model
lnFDI -0.682* (0.380) -0.189*** (0.048)
lnH 0.851*** (0.063) 0.013 (0.079)
lnIF 0.046 (0.064) 0.802*** (0.152)
lnK 0.227*** (0.024)  0.762*** (0.039)
lnL 0.185 (0.178) 0.018 (0.210)
Short run model
ΔlnFDI -0.002 (0.005) -0.043 (0.038)
ΔlnH -0.401* (0.216) 0.212 (0.242)
ΔlnIF -0.214 (0.212) -1.668* (1.006)
ΔlnK 0.133*** (0.036) 0.229*** (0.055)
ΔlnL 3.818* (2.137) -1.891 (2.646)
ECTt-1 -0.423*** (0.087) -0.277*** (0.049)
C 6.171*** (1.243) -1.120*** (0.185)
 
Log Likelihood 465.5 419.8
Hausman test p-value 0.36 0.82
Note: ***, ** and * indicates significant at 1%, 5% and 10%, respectively. Between () are the standard errors. The ARDL model (1, 1, 1, 1, 1 and 1) used uniform lags.
Table 4: Pooled mean group results