Page 39 - The Atlas of Economic Complexity

40 | THE ATLAS OF ECONOMIC COMPLEXITY

t e c h n I c a l B o x 4 . 2 : e d u c at I o n , c o g n I t I v e a B I l I t y a n d e c o n o m I c c o m p l e x I t y

We compare the contribution to income of education, cognitive ability and ity by regressing growth against years of schooling secondary school enroll-
economic complexity by regressing income against years of schooling, cogni- ment, tertiary school enrollment, and the economic Complexity index. as ad-
tive ability and the economic Complexity index. the contribution to income of ditional controls we include the change in natural resource exports during the
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each variable is estimated by taking the difference between the r obtained for period, the logarithm of per capita income and year fixed effects. the contribu-
the regression using all variables and that obtained for a regression where the tion of each variable to growth is estimated by taking the difference between the
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variable in question was removed. r obtained for a regression using all variables and one obtained for a regres-
table 4.2.1 shows the results of this procedure for the year 2000, when cog- sion where the variable in question was removed.
nitive ability data is available. Figure 4.7 in the main text summarizes the results. table 4.2.2 shows the results of this procedure for ten year panels starting in
We compare the contribution to growth of education and economic complex- 1978, 1988 and 1998. Figure 4.8 in the main text summarize the results.

TA B L E 4 . 2 . 1
Income per capita, log – Year 2000

VARIABLES (1) (2) (3) (4) (5)
Economic Complexity Index 0.998*** 1.079*** 1.042*** 1.264***
(0.204) (0.214) (0.160) (0.138)

Years of schooling 0.134* 0.213** 0.14750**
(0.077) (0.085) (0.068)
Cognitive ability 0.118 0.875*** 0.344
(0.263) (0.290) (0.249)

Constant 6.294*** 2.861*** 6.38972*** 6.688*** 7.826***
(0.917) (0.995) (0.977) (0.562) (0.183)
Observations 59 59 59 59 59
R 2 0.620 0.448 0.596 0.619 0.584

Robust standard errors in parentheses *** p<0.01, ** p<0.05, * p<0.1