Description of variables_
| FDI | Inward FDI measured in constant 2010 US$ dollars, log | World Bank database |
| GDP | Russia's GDP measured in constant 2010 US$ 2,010 dollars, log | |
| BRE | BRENT crude oil price in dollars per barrel, log | United States Energy Information Administration |
| RER | Real effective exchange rates as weighted averages of bilateral exchange with US$ dollar adjusted by relative consumer prices, measured as index, 2010 = 100, log | Bank for International Settlements |
| OPN | Own elaboration based on values of GDP, Import and Export, measured in percentage points, log | World Bank database |
| SAN | Own elaboration, dummy variable to account for the effect of Western sanctions on the economy of Russia, measured as 0 or 1 | Own elaboration |
| TAX | Corporate income tax rate, measured in percentage points | Tax code of Russia |
| LAB | Labour productivity, GDP per hour, measured in constant 2010 US$ dollars, log | OECD database |
Correlations between variables_
| Variables | GDP | BRENT | RER | OPN | SAN | TAX | LAB |
|---|---|---|---|---|---|---|---|
| GDP | 1 | ||||||
| BRENT | 0.85 | 1 | |||||
| RER | 0.75 | 0.87 | 1 | ||||
| OPN | 0.92 | 0.78 | 0.76 | 1 | |||
| SAN | 0.52 | 0.12 | 0.08 | 0.53 | 1 | ||
| TAX | −0.89 | −0.71 | −0.63 | −0.82 | −0.40 | 1 | |
| LAB | 0.73 | 0.87 | 0.79 | 0.94 | 0.50 | −0.88 | 1 |
Sample of years used in the estimation_
| Sample | 1995, 1996, 1997, 1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2016, 2017 |
Summary statistics of variables_
| Variables | Mean | Std. Dev. | Minimum | Maximum |
|---|---|---|---|---|
| GDP | 1,303.91 | 324.86 | 813.02 | 1,706.43 |
| BRE | 54.06 | 33.48 | 12.76 | 111.57 |
| RER | 81.56 | 16.57 | 48.09 | 106.67 |
| OPN | 45% | 0.06 | 37% | 59% |
| SAN | 0.14 | 0.34 | 0 | 1 |
| TAX | 26% | 0.06 | 20% | 35% |
| LAB | 86.01 | 16.64 | 63.26 | 107.63 |
Estimation results from 1996 to 2017_
| Explanatory variable: FDIt | (1) | (2) |
|---|---|---|
| GDP | 16.33*** (2.352) | 14.71*** (4.404) |
| BRE | −1.08** (0.355) | −1.24** (0.540) |
| RER | 1.70** (0.556) | 1.84* (1.145) |
| LAB | −0.141*** (0.037) | −1.110 (0.072) |
| OPN | −5.55** (2.295) | −6.91 (5.599) |
| SAN | −1.10*** (0.250) | −1.26*** (0.372) |
| TAX | 8.48*** (2.140) | 6.20* (3.672) |
| Const | −103.97*** (14.856) | −94.01*** (28.781) |
| Wald c2 (7) | 84.79 | |
| Prob > c2 | 0.000 | |
| Durbin–Watson d-statistic | 1.72*** | |
| R2 | 0.88 | 0.89 |