Table 10
Predicted probability of exit: all plants
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1979 to 1984 | 1984 to 1990 | 1990 to 1996 | ||||
---|---|---|---|---|---|---|
estimate | standard error | estimate | standard error | estimate | standard error | |
Predicted exit rate for scenario | ||||||
1: changes in tariffs = 0, changes in real exchange rates=0 | 29.6 * | 0.006 | 24.0 * | 0.013 | 22.4 * | 0.017 |
2: changes in tariffs =actual changes, changes in real exchange rates=0 | 34.6 * | 0.002 | 31.2 * | 0.011 | 37.5 * | 0.013 |
3: changes in tariffs = 0, changes in real exchange rates=actual changes | 29.4 * | 0.005 | 26.8 * | 0.008 | 19.8 * | 0.014 |
4: changes in tariffs = actual changes, changes in real exchange rates=actual changes | 34.4 * | 0.002 | 34.3 * | 0.002 | 34.2 * | 0.002 |
Difference between scenarios | ||||||
2 and 1 (predicted exit rate resulting from tariff changes) | 5.0 * | 0.005 | 7.2 * | 0.008 | 15.1 * | 0.015 |
3 and 1 (predicted exit rate resulting from real-exchange-rate changes) | -0.2 * | 0.001 | 2.8 * | 0.010 | -2.5 * | 0.010 |
1979 to 1984 | 1984 to 1990 | 1990 to 1996 | |||||
---|---|---|---|---|---|---|---|
percent | |||||||
Actual average changes in tariffs over the period | -1.1 | -2.0 | -3.7 | ||||
Actual average changes in real exchange rates over the period | -0.9 | 9.4 | -11.1 |
p<0.05
Note(s):
Predicted probability is evaluated at mean values of all variables.
An alternative is to derive average predicted probabilities over all observations.
The two methods yield very similar results.
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