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Table 1 Regression on change in structural balanceincome stabilization income shock

From: Automatic stabilization and discretionary fiscal policy in the financial crisis

  Dependent variable: Change in str. balance 2007 to 2008-09
Variables (1) (2) (3) (4) (5) (6) (7)
Income stabilization coefficient income shock -0.214*** -0.195*** -0.201*** -0.200*** -0.234*** -0.216*** -0.205**
  (0.042) (0.035) (0.035) (0.037) (0.041) (0.057) (0.042)
Net interest payments   -0.738***      
   (0.234)      
Debt / GDP    -0.040***     
    (0.013)     
Fiscal Space 1     -0.945**    
     (0.356)    
Fiscal Space 2      -8.666*   
      (4.605)   
Openness       0.001  
       (0.011)  
GDP per capita        0.012
        (0.009)
Constant 10.148*** 11.119*** 12.166*** 11.909*** 11.613*** 10.191*** 8.279***
  (1.527) (1.294) (1.407) (1.469) (1.623) (1.725) (2.048)
Observations 19 18 19 19 19 19 19
R 2 0.600 0.761 0.749 0.723 0.673 0.600 0.640
  1. Source: Data on change in structural balance from (IMF 2012). Standard errors in parentheses. *** p < 0.01, ** p < 0.05, * p < 0.1.