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Table 3 Definition of variables

From: Under-provision of private training by MENA firms: what to Do about It?

Variable

Definition

GDP per capita

GDP per capita, PPP (constant 2005 international $)

IndexH

Index of labor law rigidity to hiring

IndexF

Index of labor law rigidity to firing

IndexO

Overall index of labor law rigidity

Total tax rate

Total tax rates (Doing Business Database)

Rule of law

Index for the quality of Legal System and Property Rights (Economic Freedom of the World)

Education spending

Public expenditure on education as a percentage of GDP

Capital city (Dummy)

Location in capital city

Industry (Dummy)

Type of industry

Textiles (Dummy)

Textile industry

Garments (Dummy)

Garment industry

Textiles and Garments (Dummy)

Textile and/or garment industry

Food (Dummy)

Food industry

Other manufacture (Dummy)

Other manufacturing industry

Multi-Plant (Dummy)

Multi-plant firm

Sole owner (Dummy)

Sole proprietorship

Partner (Dummy)

Partnership

Percent private

Percentage of the firm owned by private domestic individuals, companies or organizations

Percent foreign

Percentage of the firm owned by private foreign individuals, companies or organizations

Percent government

Percentage of the firm owned by government/state

Age

Number of years since the establishment began operations in the country

Quality certificate (Dummy)

Possession of internationally-recognized quality certification

Sales export

Percentage of total sales exported

Email (Dummy)

Firm uses email in communications with clients or suppliers

Gift officer

Percent of annual sales paid as a gift or an informal payment

Manager experience

Manager’s experience in sector

Crime

Losses due to theft, robbery, vandalism or arson

Management time

Percentage of senior management's time spent in dealing with regulations

Inspections tax

Number of times inspected by or met with tax officials

Size

Total number of full-time permanent and seasonal/temporary workers

Average labor change

Average annual percentage change in the total number of full-time employees

Female owner (Dummy)

Female owner

Relative labor productivity

Sales per worker relative to the country and industry average

Finance working capital internal

Percent of working capital financed using internal funds or retained earnings

Water out (Dummy)

Incidence of water outages

Power out (Dummy)

Incidence of power outages

Sales growth > 50 (Dummy)

Sales growth rate greater than fifty percent

Sales growth < −20 (Dummy)

Sales growth rate less than negative twenty percent

Training (Dummy)

Incidence of training

Obstacles:

Severity of the obstacle: No Obstacle (0), Minor Obstacle (1), Moderate obstacle (2), Major Obstacle (3), or Very Severe Obstacle (4)

Obstacle labor

Labor regulations

Obstacle education

Inadequately educated workforce

Obstacle informal

Practices of competitors in the informal sector

Obstacle education2 (Dummy)

Skills and education of available workers

Obstacle labor2 (Dummy)

Labor regulations