The Impact of Competition, Subsidies, and Taxes on Production and Construction Cost: The Case of the Swedish Housing Construction Market
Table 5
OLS, fixed effect, and IV estimates (production cost).
Model 1
Model 2
Model 3
Model 4
Model 5
Sub
0.0021 (0.07)
0.1767 (5.10)
0.2646 (6.12)
0.1109 (3.54)
0.1330 (2.87)
VAT
−0.0608 (−3.95)
−0.1613 (−10.97)
−0.2242 (9.33)
−0.1180 (−5.35)
−0.2128 (−6.06)
Change stock
6.4021 (4.79)
11.3880 (7.30)
34.4833 (6.39)
15.3477 (3.62)
36.9840 (8.90)
Inccap
1.0243 (39.80)
0.5390 (7.94)
0.5968 (6.96)
0.3306 (4.80)
1.1341 (8.90)
T rate
0.1328 (2.02)
0.1807 (2.87)
0.2121 (2.89)
0.0793 (1.60)
0.1933 (2.98)
Lerner
−0.3885 (−5.08)
−0.0367 (−0.47)
0.3812 (2.78)
0.1578 (1.63)
0.3097 (1.86)
Time trend
—
0.0151 (8.70)
0.0177 (7.89)
0.0069 (3.72)
0.0049 (1.61)
AR (1)
—
—
0.5343 (13.16)
—
Constant
−1.9137 (−3.95)
−13.8627 (2.68)
−1.1824 (−1.19)
−18.7148 (−2.15)
−5.9174 (−4.17)
R square
0.9539
0.9620
0.9479
0.9730
0.9153
Hansen J statistics ( value)
—
—
0.0461
0.3190
—
LLC ( value)
0.027
0.004
0.000
0.000
0.001
IPS ( value)
0.022
0.001
0.000
0.000
0.000
AR (1) test ( value)
0.000
0.000
0.000
0.565
—
Durbin Watson (original)
—
—
—
—
0.949
Durbin Watson (transformed)
—
—
—
—
2.201
Method
OLS
OLS
IV
IV
IV/Prais-Winsten
Fixed regional effect
No
Yes
Yes
Yes
Yes
All variables are in natural logarithm form. values are presented within brackets. Instruments used: unemployment and demographic variables. Dependent variable: total construction cost excl. VAT.