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Table 4 Modelling government expenditure and charity expenditure as two separate variables

From: Quantifying the economic impact of government and charity funding of medical research on private research and development funding in the United Kingdom

Cointegration equation Cointegration equation 1
Lnprivate (−1) 1    
Lngoverment (−1) −0.66    
(0.18)
[−3.57]
Lncharity (−1) −0.21    
(0.09)
[−2.36]
Lnsale (−1) 0.16    
(0.21)
[0.75]
Intercept −3.34    
Error Correction D(Lnprivate) D(Lngoverment) D(Lncharity) D(Lnsale)
Cointegration equation 1 −0.08 0.01 0.14 −0.00
(0.03) (0.01) (0.05) (0.01)
[−2.99] [1.63] [3.08] [−0.47]
D(lnprivate(−1)) −0.20 −0.01 −0.21 0.01
(0.06) (0.01) (0.10) (0.01)
[−3.38] [−0.74] [−2.00] [1.05]
D(lngoverment(−1)) 0.10 −0.16 −0.04 −0.08
(0.30) (0.07) (0.52) (0.07)
[0.34] [−2.45] [−0.07] [−1.17]
D(lncharity(−1)) −0.01 −0.00 −0.11 0.01
(0.04) (0.01) (0.06) (0.01)
[−0.34] [−0.12] [−1.82] [1.60]
D(lnsale(−1)) 0.30 0.02 0.18 0.16
(0.26) (0.06) (0.44) (0.06)
[1.16] [0.40] [0.40] [2.55]
Intercept 0.06 0.04 0.15 0.06
(0.03) (0.01) (0.05) (0.01)
[2.10] [5.91] [3.05] [7.98]
R2 0.10 0.04 0.06 0.05
Adj. R2 0.08 0.02 0.04 0.03
Sum sq. resids 27.97 1.30 81.67 1.53
SE equation 0.34 0.07 0.58 0.08
F-statistic 5.49 1.82 2.95 2.30
Log likelihood −80.96 302.94 −214.88 281.99
Akaike information criterion 0.70 −2.38 1.77 −2.21
Schwarz SC 0.78 −2.29 1.85 −2.12
Mean dependent 0.07 0.03 0.14 0.07
SD dependent 0.35 0.07 0.59 0.08
Determinant resid covariance (dof adj.) 1.23 × 10–06   
Determinant resid covariance 1.12 × 10–06   
Log likelihood 294.17   
Akaike information criterion −2.13   
Schwarz criterion −1.73   
  1. Standard errors in () & t-statistics in []
  2. Sample adjusted for a period between 1984 and 2008
  3. There are 250 observations included after adjustments
  4. D(lngoverment): first difference of log government expenditure; D(lncharity): first difference of log charity expenditure; D(lnprivate): first difference of log private sector expenditure; D(lnsale): first difference of log sales; Lngoverment (-1): log government expenditure with one year lag; Lncharity (-1): log charity expenditure with one year lag; Lnprivate (−1): log private sector expenditure with one year lag Lnsale (−1): log sales with one year lag; D(lngoverment(−1)): first difference of log government expenditure with one year lag; D(lncharity(−1)): first difference of log charity expenditure with one year lag; D(lnprivate(−1)): first difference of log private sector expenditure with one year lag; D(lnsale(−1)): first difference of sales with one year lag