Natural resources, rent dependence, and public goods provision in China: evidence from Shanxi’s county-level governments

Table 4 Coal dependence and various government expenditures in Shanxi Province (2007)

	Share of social expenditures		Share of administrative expenditures
	(1) OLS	(2) 2SLS	(3) OLS	(4) 2SLS
Coal Dependence Index	−0.027***	−0.032***	0.078***	0.081***
Coal Dependence Index	(0.008)	(0.008)	(0.016)	(0.017)
GDP per capita	0.050	0.078**	−0.004	−0.042
GDP per capita	(0.038)	(0.039)	(0.078)	(0.079)
Transfer dependency	0.136**	0.151**	−0.091	−0.116
Transfer dependency	(0.062)	(0.064)	(0.116)	(0.121)
Ratio of urbanization	−0.029	−0.046	−0.131	−0.105
Ratio of urbanization	(0.062)	(0.060)	(0.105)	(−0.099)
Total population	0.096***	0.094***	−0.137***	−0.136***
Total population	(0.024)	(0.023)	(0.051)	(−0.049)
Land area	0.043	0.057*	−0.097	−0.113*
Land area	(0.031)	(0.029)	(0.066)	(−0.065)
County-level city	0.088	0.099*	−0.163	−0.180*
County-level city	(0.061)	(0.060)	(0.112)	(0.108)
Number of students	0.121	0.123
Number of students	(0.107)	(0.102)
Number of hospital beds	−0.001	−0.003
Number of hospital beds	(0.025)	(0.032)
Constant	0.661	0.327	6.100***	6.56***
Constant	(1.187)	(1.142)	(1.415)	(1.467)
R square	0.3862	0.3803	0.3473	0.3448
Hansen J test p value		0.3225		0.6684
Cragg-Donald Wald F		262.06		253.65
Hausman specification P		0.0207		0.2171

Notes: (1) N = 96. Except for the administrative level dummy, all variables are in logarithms. Numbers in table are unstandardized coefficients. White’s heteroscedasticity-robust standard errors are in parentheses below the coefficients
(2) *p < 0.10, **p < 0.05, ***p < 0.01