Table 3 presents a correlation matrix between the ESS questions. The questions used in the analysis present high correlation between each other, something that allows for using PCA in order to capture the overall culture measure and the Schwartz’s cultural values.
Table 3. Pairwise correlation matrix of the ESS questions
|
|
C1
|
C2
|
C3
|
C4
|
C5
|
C6
|
C7
|
C8
|
C9
|
C10
|
C11
|
C12
|
C13
|
C14
|
C15
|
C16
|
C17
|
C18
|
Important to think new ideas and being creative
|
C1
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Important to try new and different things in life
|
C2
|
0,74***
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Important to have a good time
|
C3
|
0,44***
|
0,52***
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Important to seek adventures and have an exciting life
|
C4
|
0,58***
|
0,67***
|
0,25***
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Important seek fun and things that give pleasure
|
C5
|
0,64***
|
0,66***
|
0,34***
|
0,62***
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Important to understand different people
|
C6
|
0,73***
|
0,67***
|
0,55***
|
0,40***
|
0,47***
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
Important to show abilities and be admired
|
C7
|
0,41***
|
0,53***
|
0,21***
|
0,64***
|
0,53***
|
0,26***
|
1
|
|
|
|
|
|
|
|
|
|
|
|
Important to be successful and that people recognize achievements
|
C8
|
0,36***
|
0,40***
|
0,04
|
0,51***
|
0,36***
|
0,12
|
0,66***
|
1
|
|
|
|
|
|
|
|
|
|
|
Important to be rich, have money and expensive things
|
C9
|
0,20**
|
0,14
|
-0,04
|
0,52***
|
0,12
|
0,00
|
0,48***
|
0,62***
|
1
|
|
|
|
|
|
|
|
|
|
Important to do what is told and follow rules
|
C10
|
0,35***
|
0,42***
|
-0,14
|
0,37***
|
0,27***
|
0,31***
|
0,34***
|
0,41***
|
0,42***
|
1
|
|
|
|
|
|
|
|
|
Important to live in secure and safe surroundings
|
C11
|
0,46***
|
0,42***
|
0,14*
|
0,47***
|
0,36***
|
0,41***
|
0,50***
|
0,54***
|
0,44***
|
0,49***
|
1
|
|
|
|
|
|
|
|
Important that government is strong and ensures safety
|
C12
|
0,46***
|
0,46***
|
0,07
|
0,59***
|
0,41***
|
0,44***
|
0,68***
|
0,65***
|
0,53***
|
0,47***
|
0,67***
|
1
|
|
|
|
|
|
|
Important to behave properly
|
C13
|
0,59***
|
0,72***
|
0,41***
|
0,61***
|
0,55***
|
0,65***
|
0,66***
|
0,39***
|
0,29***
|
0,49***
|
0,59***
|
0,76***
|
1
|
|
|
|
|
|
Important to get respect from others
|
C14
|
0,50***
|
0,47***
|
0,24***
|
0,62***
|
0,51***
|
0,40***
|
0,79***
|
0,77***
|
0,63***
|
0,46***
|
0,68***
|
0,79***
|
0,70***
|
1
|
|
|
|
|
Important follow traditions and customs
|
C15
|
0,47***
|
0,40***
|
-0,02
|
0,54***
|
0,66***
|
0,41***
|
0,65***
|
0,59***
|
0,45***
|
0,49***
|
0,56***
|
0,80***
|
0,65***
|
0,72***
|
1
|
|
|
|
Important that people are treated equally and have equal opportunities
|
C16
|
0,76***
|
0,73***
|
0,52***
|
0,43***
|
0,50***
|
0,83***
|
0,39***
|
0,19*
|
0,08
|
0,40***
|
0,43***
|
0,54***
|
0,76***
|
0,47***
|
0,44***
|
1
|
|
|
Important to help people and care for others well-being
|
C17
|
0,74***
|
0,61***
|
0,31***
|
0,48***
|
0,58***
|
0,82***
|
0,42***
|
0,29***
|
0,05
|
0,35***
|
0,46***
|
0,58***
|
0,69***
|
0,50***
|
0,58***
|
0,78***
|
1
|
|
Important to be loyal to friends and devote to people close
|
C18
|
0,60***
|
0,44***
|
0,60***
|
0,26***
|
0,38***
|
0,82***
|
0,21**
|
0,03
|
-0,05
|
0,09
|
0,28***
|
0,36***
|
0,47***
|
0,29***
|
0,32***
|
0,65***
|
0,71***
|
1
|
Important to care for nature and environment
|
C19
|
0,54***
|
0,63***
|
0,41***
|
0,40***
|
0,43***
|
0,73***
|
0,36***
|
0,39***
|
0,08
|
0,36***
|
0,51***
|
0,57***
|
0,69***
|
0,49***
|
0,49***
|
0,67***
|
0,648***
|
0,62***
|
Note: *, ** and *** represent statistical significance at 10%, 5% and 1% significance level, respectively.
Moreover, Table 4 presents the PCA for the “Conservatism/Embeddedness Vs Autonomy” cultural value.
Table 4. PCA for Conservatism/Embeddedness vs Autonomy
|
PC1
|
PC2
|
Important to think new ideas and being creative
|
0,40
|
-0,19
|
Important to try new and different things in life
|
0,42
|
-0,11
|
Important to have a good time
|
0,26
|
-0,47
|
Important to seek adventures and have an exciting life
|
0,38
|
0,23
|
Important to seek fun and things that give pleasure
|
0,38
|
0,04
|
Important to understand different people
|
0,34
|
-0,44
|
Important to show abilities and be admired
|
0,34
|
0,43
|
Important to be successful and that people recognize achievements
|
0,27
|
0,55
|
Eigenvalue
|
4,42
|
1,43
|
Var
|
55,28%
|
17,89%
|
Note: In bold are presented those values above 0.4 or below -0.4, since there are the ESS questions that more significantly shape the principal components.
The first two principal components (PC) are used. The first one has an eigenvalue of 4,42 and is related to 55,28% of total variance. It is positively configured by the following questions: “Important to think new ideas and being creative” and “Important to try new and different things in life”. In that way it is a component that is characterized by self-direction and stimulation.
The second one has an eigenvalue of 1,43 and is related to 17,89% of total variance. It is positively configured by the following questions: “Important to show abilities and be admired” and “Important to be successful and that people recognize achievements”. Moreover, it is configured negatively by “Important to have a good time” and “Important to understand different people”. In that way it is a component that is characterized by affective autonomy.
Table 5 presents the Kaiser-Meyer-Olkin (KMO) test in order to examine the potential to use a factor analysis to the variables that express Conservatism / Embeddedness vs Autonomy.
Table 5. KMO test for Conservatism/Embeddedness vs Autonomy
Important to think new ideas and being creative
|
0.84
|
Important to try new and different things in life
|
0.89
|
Important to have a good time
|
0.85
|
Important to seek adventures and have an exciting life
|
0.89
|
Important to seek fun and things that give pleasure
|
0.91
|
Important to understand different people
|
0,80
|
Important to show abilities and be admired
|
0.80
|
Important to be successful and that people recognize achievements
|
0.75
|
Overall
|
9.85
|
All values are above 0.5 indicating that the PCA is a suitable analysis for the variables used to express Conservatism/Embeddedness vs Autonomy.
Table 6 presents the PCA for the “Hierarchy Vs Egalitarianism” cultural value.
Table 6. PCA for Hierarchy vs Egalitarianism
|
PC1
|
PC2
|
Important to be rich, have money and expensive things
|
0,37
|
0,81
|
Important to do what is told and follow rules
|
0,41
|
0,17
|
Important to live in secure and safe surroundings
|
0,48
|
-0,09
|
Important that government is strong and ensures safety
|
0,51
|
-0,15
|
Important to behave properly
|
0,46
|
-0,53
|
Eigenvalue
|
3,07
|
0,76
|
Var
|
61,43%
|
15,40%
|
Note: In bold are presented those values above 0.4 or below -0.4, since there are the ESS questions that more significantly shape the principal components.
The first two principal components are used. The first one has an eigenvalue of 3.07 and is related to 61.43% of total variance. It is positively configured by the following questions: “Important to do what is told and follow rules”, “Important to live in secure and safe surroundings”, “Important that government is strong and ensures safety” and “Important to behave properly”. In that way it is a component that is characterized by power and security and thus hierarchy.
The second one has an eigenvalue of 0.76 and is related to 15.40% of total variance. It is positively configured by the question “Important to be rich, have money and expensive things” and negatively by “Important to behave properly”. In that way it is a component that is characterized by power and non-conformity and thus hierarchy as well.
Table 7 presents the KMO test in order to examine the potential to use a factor analysis to the variables that express Hierarchy vs Egalitarianism.
Table 7. KMO test for Hierarchy vs Egalitarianism
Important to be rich, have money and expensive things
|
0,66
|
Important to do what is told and follow rules
|
0,84
|
Important to live in secure and safe surroundings
|
0,87
|
Important that government is strong and ensures safety
|
0,69
|
Important to behave properly
|
0,68
|
Overall
|
0.74
|
All values are above 0.5 indicating that the PCA is a suitable analysis for the variables used to express Hierarchy vs Egalitarianism.
Table 8 presents the PCA for the “Mastery Vs Harmony” cultural value.
Table 8. PCA for Mastery vs Harmony
|
PC1
|
PC2
|
Important to get respect from others
|
0,30
|
0,62
|
Important to follow traditions and customs
|
0,31
|
0,60
|
Important that people are treated equally and have equal opportunities
|
0,41
|
-0,15
|
Important to help people and care for others well-being
|
0,42
|
-0,08
|
Important to be loyal to friends and devote to people close
|
0,38
|
-0,38
|
Important to care for nature and environment
|
0,39
|
-0,03
|
Eigenvalue
|
4,57
|
1,15
|
Var
|
65,31%
|
16,49%
|
Note: In bold are presented those values above 0.4 or below -0.4, since there are the ESS questions that more significantly shape the principal components.
The first two principal components are used. The first one has an eigenvalue of 4.57 and is related to 65.31% of total variance. It is positively shaped by “Important that people are treated equally and have equal opportunities”, “Important to help people and care for others well-being” and “Important to understand different people”. In that way it is characterized by benevolence and thus mastery.
The second one has an eigenvalue of 1.15 and is related to 16.49% of total variance. It is positively shaped by “Important to get respect from others” and “Important to follow traditions and customs”. In that way it is characterized by tradition and thus mastery as well.
Table 9 presents the KMO test in order to examine the potential to use a factor analysis to the variables that express Mastery vs Harmony.
Table 9. KMO test for Mastery vs Harmony
Important to get respect from others
|
0,75
|
Important to follow traditions and customs
|
0,72
|
Important that people are treated equally and have equal opportunities
|
0,83
|
Important to help people and care for others well-being
|
0,79
|
Important to be loyal to friends and devote to people close
|
0,83
|
Important to care for nature and environment
|
0,89
|
Overall
|
0.81
|
All values are above 0.5 indicating that the PCA is a suitable analysis for the variables used to express Mastery vs Harmony.
Table 10 presents the results after estimating equation (1) where the dependent variable is Patent Applications. Each column represents a different estimation of equation 1 since different independent variables are used.
Table 10. The effect of culture on patent applications
Dependent variable
|
Patent Applications
|
Independent variables
|
(1)
|
(2)
|
(3)
|
(4)
|
(5)
|
(6)
|
Constant
|
2626.1
(0.27)
|
1909.4
(0.19)
|
1666.1
(0.17)
|
-1081.4
(-0.12)
|
1224.9
(0.13)
|
659.7
(0.08)
|
Hierarchy Vs Egalitarianism – PC1
|
-1502.3
(-0.95)
|
|
|
|
|
|
Hierarchy Vs Egalitarianism – PC2
|
|
-1689.2
(-0.59)
|
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC1
|
|
|
-392.0
(-0.27)
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC2
|
|
|
|
-3766.9*
(-1.79)
|
|
Mastery Vs Harmony – PC1
|
|
|
|
|
231.1
(0.15)
|
Mastery Vs Harmony – PC2
|
|
|
|
|
|
-4170.6*
(-1.67)
|
N
|
101
|
101
|
99
|
99
|
101
|
101
|
R2
|
6.36%
|
2.92%
|
1.3%
|
18.25%
|
1.09%
|
16.42%
|
F-stat
|
0.51
|
0.23
|
0.10
|
1.67
|
0.08
|
1.47
|
Notes: The t-statistics values are displayed in parentheses. *, ** and *** represent statistical significance at 10%, 5% and 1% significance level, respectively. Each column represents a separate regression.
Regression 4 shows that affective autonomy negatively affects patent applications. The same holds for mastery (regression 6) which negatively affect patents applications as well.
Table 11 presents the results when the gross domestic spending on R&D is the depended variable.
Table 11. The effect of culture on gross domestic spending on R&D
Dependent variable
|
Gross domestic spending on R&D
|
Independent variables
|
(7)
|
(8)
|
(9)
|
(10)
|
(11)
|
(12)
|
|
2.23***
(3.35)
|
1.94**
(2.78)
|
1.77**
(2.19)
|
1.24*
(2.01)
|
1.84**
(2.34)
|
1.59***
(2.96)
|
Hierarchy Vs Egalitarianism – PC1
|
-0.24**
(-2.55)
|
|
|
|
|
|
Hierarchy Vs Egalitarianism – PC2
|
|
-0.33*
(-1.97)
|
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC1
|
|
|
-0.02
(-0.23)
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC2
|
|
|
|
-0.37***
(-3.13)
|
|
Mastery Vs Harmony – PC1
|
|
|
|
|
-0.01
(-0.12)
|
Mastery Vs Harmony – PC2
|
|
|
|
|
|
-0.49***
(-3.98)
|
N
|
107
|
107
|
105
|
105
|
107
|
107
|
R2
|
32.09%
|
22.22%
|
15.89%
|
41.17%
|
18.92%
|
53.33%
|
F-stat
|
3.31**
|
2.01
|
0.03
|
4.9**
|
0.04
|
8.00***
|
Notes: The t-statistics values are displayed in parentheses. *, ** and *** represent statistical significance at 10%, 5% and 1% significance level, respectively. Each column represents a separate regression.
Regressions 7 and 8 show a statistically significant and negative effect of hierarchy on gross domestic spending on R&D. Moreover, regression 10 shows there is a statistically significant effect, which means that affective autonomy negatively affects gross domestic spending on R&D. The same holds for mastery (regression 12) which negatively affect gross domestic spending on R&D as well.
Table 12 presents the results when the number of researchers per 1000 people employed is the depended variable.
Table 12. The effect of culture on the number of researchers per 1,000 people employed
Dependent variable
|
Researchers per 1000 people employed
|
Independent variables
|
(13)
|
(14)
|
(15)
|
(16)
|
(17)
|
(18)
|
Constant
|
7.73***
(3.09)
|
6.66**
(2.55)
|
7.02**
(2.48)
|
4.69*
(2.03)
|
6.50**
(2.28)
|
5.67***
(2.88)
|
Hierarchy Vs Egalitarianism – PC1
|
-0.80**
(-2.29)
|
|
|
|
|
|
Hierarchy Vs Egalitarianism – PC2
|
|
-1.03*
(-1.65)
|
|
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC1
|
|
|
-0.38
(-1.05)
|
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC2
|
|
|
|
-1.26***
(-2.84)
|
|
|
Mastery Vs Harmony – PC1
|
|
|
|
|
-0.19
(-0.46)
|
|
Mastery Vs Harmony – PC2
|
|
|
|
|
|
-1.75***
(-3.85)
|
N
|
106
|
106
|
104
|
104
|
106
|
106
|
R2
|
28.02%
|
52.87%
|
25.04%
|
60.17%
|
60.26%
|
52.13%
|
F-stat
|
2.72*
|
1.44
|
0.67
|
4.20**
|
0.20
|
7.62***
|
Notes: The t-statistics values are displayed in parentheses. *, ** and *** represent statistical significance at 10%, 5% and 1% significance level, respectively. Each column represents a separate regression.
As in Table 8, in Table 12 Regressions 13 and 14 show a statistically significant and negative effect of hierarchy on the number of researchers per 1,000 people employed. Moreover, regression 16 shows there is a statistically significant effect, which means that affective autonomy negatively affects the number of researchers per 1000 people employed. The same holds for mastery (regression 18) which negatively affect the number of researchers per 1,000 people employed as well.
Table 13 presents the results when the number of Government researchers is used as the depended variable.
Table 13. The effect of culture on the number of Government researchers
Dependent variable
|
Government Researchers
|
Independent variables
|
(19)
|
(20)
|
(21)
|
(22)
|
(23)
|
(24)
|
Constant
|
12586.7***
(4.71)
|
12620.61***
(4.97)
|
12648.94***
(4.24)
|
12523.95***
(4.35)
|
12913.87***
(4.47)
|
12662.45***
(4.54)
|
Hierarchy Vs Egalitarianism – PC1
|
-171.4
(-0.50)
|
|
|
|
|
|
Hierarchy Vs Egalitarianism – PC2
|
|
-1301.2**
(-2.27)
|
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC1
|
|
|
159.8
(0.55)
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC2
|
|
|
|
-1592.2**
(-2.13)
|
|
Mastery Vs Harmony – PC1
|
|
|
|
|
726.5**
(2.34)
|
Mastery Vs Harmony – PC2
|
|
|
|
|
|
-2009.4***
(-3.04)
|
N
|
102
|
102
|
100
|
100
|
102
|
102
|
R2
|
2.62%
|
8.12%
|
3.7%
|
17.03%
|
9.58%
|
21.14%
|
F-stat
|
0.25
|
5.17**
|
0.30
|
4.52**
|
5.49**
|
9.23***
|
Notes: The t-statistics values are displayed in parentheses. *, ** and *** represent statistical significance at 10%, 5% and 1% significance level, respectively. Each column represents a separate regression.
The same results hold for the case of Government researchers as well. In Table 13 regression 20 shows a statistical significant and negative effect of hierarchy on the number of Government researchers. Moreover, regression 22 shows there is a statistically significant effect, which means that affective autonomy negatively affects the number of Government researchers. The same holds for mastery (regression 23 and 24) which negatively affect the number of Government researchers as well.
Finally, Table 14 presents the estimation of equation (2) where the dependent variable is economic development.
Table 14. The effect of culture on Economic Development
Dependent variable
|
Economic Development
|
Independent variables
|
(25)
|
(26)
|
(27)
|
(28)
|
(29)
|
(30)
|
Constant
|
44.19***
(3.57)
|
42.56***
(3.90)
|
37.83***
(2.96)
|
34.69***
(3.01)
|
38.23***
(3.08)
|
37.61***
(3.39)
|
Hierarchy Vs Egalitarianism – PC1
|
-1.85
(-1.06)
|
|
|
|
|
|
Hierarchy Vs Egalitarianism – PC2
|
|
-5.69**
(-2.15)
|
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC1
|
|
|
1.19
(0.71)
|
|
|
Conservatism/Embeddedness Vs Autonomy – PC2
|
|
|
|
-4.31*
(-1.92)
|
|
Mastery Vs Harmony – PC1
|
|
|
|
|
1.61
(0.89)
|
Mastery Vs Harmony – PC2
|
|
|
|
|
|
-5.26**
(-2.04)
|
N
|
107
|
107
|
105
|
105
|
107
|
107
|
R2
|
13.66%
|
26.03%
|
4.5%
|
31.68%
|
26.34%
|
23.80%
|
F-stat
|
0.69
|
2.46*
|
0.33
|
1.94
|
0.47
|
2.19
|
Notes: The t-statistics values are displayed in parentheses. *, ** and *** represent statistical significance at 10%, 5% and 1% significance level, respectively. Each column represents a separate regression.
Investigating the effects of culture on economic development, in Table 14 regression 26 shows a statistically significant and negative effect of hierarchy on economic development. Moreover, regression 28 shows there is a statistically significant effect, which means that affective autonomy negatively affects economic development, while the same holds for mastery (regression 30).