**************** * WWW LINKS: **************** * Raw data : http://www.ifc.org/ifcext/economics.nsf/Content/ic-wbes * Description of raw data: http://www.ifc.org/ifcext/economics.nsf/AttachmentsByTitle/IC-WBESVariableCodes/$FILE/wbesvariablecodes1.pdf * Country and region codes: http://www.ifc.org/ifcext/economics.nsf/AttachmentsByTitle/IC-WBESCountryCodes/$FILE/wbesregioncountrycodes1.pdf * Questionnaires: http://www.ifc.org/ifcext/economics.nsf/Content/ic-wbes clear version 9 /* cd c:\myfiles-2008\hibbs-piculescu\ajps-final-2009-06-15\stata\ */ use wbes-raw.dta set more off *Save data in a working data file WBES_temp.dta save WBES_temp.dta, replace * Select variables of interest keep country bl_reg cus_reg lab_reg frk_reg env_reg fir_reg hit_reg vfas gcf off_sr region1 juds gvt_pct save, replace * ********************** * Rename variables ************************ * BUSINESS LICENSING as obstacle * Question 7a in WBES Core Questionnaire: "Please judge on a four point scale how problematic are these different regulatory areas for the operation and growth * of your business .... Business Licensing" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls: <<2. label var bl_reg “Business regulations” 1=no obstacle 4=major obstacle >> gen q17lic=bl_reg drop bl_reg * CUSTOMS / FOREIGN TRADE REGULATIONS as obstacles * Question 7b in WBES Core Questionnaire: "Please judge on a four point scale how problematic are these different regulatory areas for the operation and growth * of your business .... Customs / Foreign Trade Regulations in your Country" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls: <<3. label var cus_reg “Customs Regulations” 1=no obstacle 4=major obstacle>> gen q17cus=cus_reg drop cus_reg * LABOR REGULATIONS as obstacles * Question 7c in WBES Core Questionnaire: "Please judge on a four point scale how problematic are these different regulatory areas for the operation and growth * of your business .... Labor Regulations" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls: <<4. label var lab_reg “Labor regulations” 1=no obstacle 4=major obstacle>> gen q17lab=lab_reg drop lab_reg * FOREIGN CURRENCY / EXCHANGE REGULATIONS as obstacles * Question 7d in WBES Core Questionnaire: "Please judge on a four point scale how problematic are these different regulatory areas for the operation and growth * of your business .... Foreign Currency / Exchange Regulations" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls: <<5. label var frk_reg “foreign exchange regulations” 1=no obstacle 4=major obstacle>> gen q17for=frk_reg drop frk_reg * ENVIRONMENTAL REGULATIONS as obstacles * Question 7e in WBES Core Questionnaire: "Please judge on a four point scale how problematic are these different regulatory areas for the operation and growth * of your business .... Environmental Regulations" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls: <<6. label var env_reg “environmental regulations” 1=no obstacle 4=major obstacle>> gen q17env=env_reg drop env_reg * FIRE and SAFETY REGULATIONS as obstacles * Question 7f in WBES Core Questionnaire: "Please judge on a four point scale how problematic are these different regulatory areas for the operation and growth * of your business .... Fire, Safety Regulations" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls: <<7. label var fir_reg “Fire regulations” 1=no obstacle 4=major obstacle>> gen q17fir=fir_reg drop fir_reg * HIGH TAXES as obstacles * Question 7h in WBES Core Questionnaire: "Please judge on a four point scale how problematic are these different regulatory areas for the operation and growth * of your business .... High Taxes" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls: <<8. label var hit_reg “High taxes” 1=no obstacle 4=major obstacle>> gen q17hit=hit_reg drop hit_reg * FINANCING as obstacle * Question 38a in WBES Core Questionnaire:"Please judge on a four point scale how problematic are the following factors for the operation and growth of your * business ... Financing" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls:<<88. label var gcf “General constraint-financing” 1=no obstacle 4=major obstacle>> gen q49fin=gcf drop gcf * COURTS as obstacles * Question 38g in WBES Core Questionnaire:"Please judge on a four point scale how problematic are the following factors for the operation and growth of your * business ... Functioning of the Judiciary" * Scale: 1= No obstacle to 4 = Major obstacle * Variable Description in wbes.xls:<< 155. label var juds “General constraint-functioning of the judiciary” 1=no obstacle, 4=major obstacle>> gen q49jud=juds drop juds * Rename region1 as REGION * Variable Description in wbes.xls:<< 146. label var region “Region”>> * Region codes: 1 "Africa" 2 "MENA" 3 "Transition Europe" 4 "East Asia" 5 "South Asia" 6 "Latin America" 7 "OECD" gen region=region1 drop region1 * Identification of PRIVATE FIRMS in the sample * Question VIII in WBES Core Questionnaire: "Share of State Ownership" * Scale: >=0 "Yes (specify % of total ownership)" and missing for "No" * Variable Description in wbes.xls:<<18. label var gvt_pct “Percent government ownership”>> * Keep firms with no state ownership only gen nogov=gvt_pct drop gvt_pct drop if nogov>0 & nogov!=. * REPORTED SALES * Question 42 in regional questionnaires for countries in the Americas, Asia, and Western Europe:"Recognizing the difficulties many enterprises face in * fully complying with taxes and regulations, what percentage of total sales would you estimate the typical firm in your area of activity reports for tax purposes? " * Scale: 1 "All (100%)" 2 "90-99%" 3 "80-89%" 4 "70-79%" 5 "60-69%" 6 "50-59%" 7 Less than 50%" 8 "Don't know" 9 "Refused" * Question 48a in the regional questionnaire for Transition Europe: "What percentage of the sales of a typical firm in your area of activity would you estimate * is reported to the tax authorities, bearing in mind difficulties with complying with taxes and other regulations?" * Scale: 1 "100%" 2 "90-99%" 3 "80-89%" 4 "70-79%" 5 "60-69%" 6 "50-59%" 7 "25- 49%" 8 "Less than 25%" * Variable Description in wbes.xls: <<101. label var off_sr “% of sales reported to tax authorities”>> * Merge categories 7 and 8 for countries in Transition Europe (region 3). The value 7 now stands for "Less than 50%" for all countries in the sample gen temp=off_sr replace temp=7 if region==3 & off_sr==8 * Recode as missing the observations with "Don't know" and "Refused" for all countries replace temp=. if region !=3 & off_sr==8 replace temp=. if region !=3 & off_sr==9 gen q48a=temp drop off_sr temp * Resulting scale of variable q48a (reported sales): 1 "100%" 2 "90-99%" 3 "80-89%" 4 "70-79%" 5 "60-69%" 6 "50-59%" 7 Less than 50%" * ASSETS (land, buildings, equipment) * Question 48B in regional questionnaires for countries in the Americas, Asia, and Western Europe:"For background purposes only (to compare your firm to * others in our sample), please estimate ...The amount of your firm's fixed assets (land, building, equipment)" * Scale for countries in the Americas, Asia, and Western Europe: USD * Question 51B in the BEEPS questionnaires for Transition Europe (http://siteresources.worldbank.org/INTWBIGOVANTCOR/Resources/1740479-1150732695457/beeps_questions.pdf) * Scale for Transition Europe - 14 categories as follows: 1" < USD 250K" 2 "USD 250K-499K" 3 "USD 500K-999K" 4 "USD 1-1.99 mil" 5 " USD 2-4.99 mil" 6 "USD 5 - 9.99 mil" * 7 "USD 10 - 19.99 mil" 8 "USD 20 - 49.99 mil" 9 "USD 50 - 499 mil" 11 " >= USD 500 mil" 12 "Don't know" 13 "No fixed assets" 14 "Refuse to answer" * Variable Description in wbes.xls: <<21. label var vfas “Value of fixed assets” ($)>> * Transition countries - eliminate categories 12-14 (categ 13 is merged with 1) gen temp1=vfas replace temp1=1 if vfas==13 & region==3 replace temp1=. if vfas==14 & region==3 replace temp1=. if vfas==12 & region==3 replace temp1=0 if region!=3 * Recode fixed assets for all other countries according to the scale of Transition Europe gen temp2=vfas replace temp2=0 if region==3 replace temp2=1 if region !=3 & vfas<250000 replace temp2=2 if region !=3 & vfas>=250000 & vfas<=499999 replace temp2=3 if region !=3 & vfas>=500000 & vfas <=999999 replace temp2=4 if region !=3 & vfas >= 1000000 & vfas<=1999999 replace temp2=5 if region !=3 & vfas>=2000000 & vfas<=4999999 replace temp2=6 if region !=3 & vfas >= 5000000 & vfas<=9999999 replace temp2=7 if region!=3 & vfas>=10000000 & vfas<=19999999 replace temp2=8 if region !=3 & vfas>=20000000 & vfas<=49999999 replace temp2=9 if region !=3 & vfas>=50000000 & vfas<=499999999 replace temp2=11 if region !=3 & vfas>= 500000000 gen assets_new=temp1+temp2 drop temp1 temp2 vfas * Final scale for assets_new: 1" < USD 250K" 2 "USD 250K-499K" 3 "USD 500K-999K" 4 "USD 1-1.99 mil" 5 " USD 2-4.99 mil" 6 "USD 5 - 9.99 mil" * 7 "USD 10 - 19.99 mil" 8 "USD 20 - 49.99 mil" 9 "USD 50 - 499 mil" 11 " >= USD 500 mil" save, replace * MERGE WITH DATA ON CORPORATE AND PAYROLL TAXES use "wbes-countrycodes.dta" sort country save, replace use WBES_temp.dta sort country save, replace merge country using "wbes-countrycodes.dta" save, replace label define region_name 1 "Africa" 2 "MENA" 3 "Transition Europe" 4 "East Asia" 5 "South Asia" 6 "Latin America" 7 "OECD" label values region region_name drop country rename ctryid country save ajps-2010.dta, replace drop if region==2 drop if region==1 drop _merge save ajps-2010.dta, replace