Tax Arrangement and Regional Industrial Restructuring: Evidence from Panel Data in China

Table 6

Empirical analysis of influence of tax arrangements to IDR.  

Path	Variable	lidr
		Model I	Model II	Model III	Model IV	Model V
Macrotax	lmtb^2	0.618; (4.78)	0.733; (5.38)	0.573; (4.54)	0.500; (4.26)	0.667; (5.38)
	lmtb	2.510; (4.68)	2.835; (5.32)	2.192; (4.49)	2.231; (4.74)	2.976; (6.29)
Turnover tax	lvat^2			−0.061; (−4.17)
	lvat			1.419; (3.50)
	lbt^2				−0.035; (−2.78)
	lbt				0.756; (2.05)
Income tax	lcit^2	−0.035; (−4.48)
	lcit	0.844; (3.88)
	liit^2		−0.058; (−5.25)
	liit		1.327; (4.87)
Resource tax	lrt	−0.108; (−2.61)	−0.105; (−3.20)
Property tax						−0.276; (−3.12)
						−0.039; (−3.70)
						1.127; (3.25)
Control variables	lcs			0.148; (1.57)	0.122; (1.32)
	lis			0.196; (1.89)	0.124; (1.21)
Regional differences	D			0.235; (0.72)	0.200; (0.61)	0.133; (0.40)
Constant	C	−2.763; (−1.67)	−5.214; (5.49)	−7.234; (−2.48)	−2.460; (−0.90)	−2.217; (−0.86)
	Within	0.3387	0.3532	0.3268	0.3559	0.3489
	Between	0.0490	0.0258	0.1254	0.1817	0.1371
	Overall	0.0698	0.0474	0.1397	0.1929	0.1528

, , and indicate statistical significance at the 1%, 5%, and 10% significance level, respectively. The -statistics are given in parenthesis. is a measure of goodness of fit in model regression, -within is from the mean-deviated regression, and -between is the square of correlation between and , and -overall is the square of correlation between and .