Research Article

Fiscal Decentralization and Environmental Pollution: A Spatial Analysis

Table 7

The direct effects, indirect effects, and total effects of the spatial Durbin model (revenue fiscal decentralization).

0-1 rook matrixGeographic distance matrixEconomic distance nesting matrix
Direct effectIndirect effectTotal effectsDirect effectIndirect effectTotal effectsDirect effect

ER−0.362 (−2.954)0.411 (1.662)0.048 (0.169)−0.402 (−3.391)−0.154 (−0.263)−0.557 (−0.932)−0.347 (−2.741)−0.605 (−0.556)−0.953 (−0.879)
ER20.013 (2.341)−0.024 (−1.983)−0.011 (−0.788)0.014 (2.656)−0.004 (−0.189)0.010 (0.456)0.012 (2.001)0.011 (0.298)0.023 (0.606)
FD4.330 (2.952)−4.318 (−1.363)0.012 (0.003)5.198 (3.435)−2.774 (−0.706)2.423 (0.617)5.623 (3.705)−4.639 (−0.806)0.984 (0.169)
FD  ER0.224 (1.620)0.770 (2.293)0.995 (2.597)0.283 (2.067)0.980 (2.555)1.264 (3.085)0.287 (2.032)0.832 (1.503)1.120 (1.898)
PGDP−0.202 (−1.434)−0.826 (−3.127)−1.028 (−3.673)−0.356 (−2.704)0.006 (0.017)−0.349 (−0.863)−0.264 (−1.862)0.096 (0.201)−0.168 (−0.343)
STR−0.246 (−0.690)−1.163 (−1.246)−1.409 (−1.292)−0.232 (−0.577)−0.348 (−0.281)−0.581 (−0.398)0.166 (0.414)2.310 (1.420)2.476 (1.363)
CITY1.085 (3.102)−2.554 (−3.223)−1.468 (−1.730)0.969 (2.776)−3.616 (−3.202)−2.646 (−2.296)0.625 (1.726)−1.516 (−1.079)−0.891 (−0.615)
FDI0.182 (3.563)0.120 (1.031)0.303 (2.293)0.204 (4.161)0.359 (2.486)0.563 (3.575)0.213 (4.246)0.322 (1.488)0.536 (2.400)
FD  FDI−0.456 (−4.080)−0.328 (−1.365)−0.785 (−2.999)−0.538 (−4.910)−0.962 (−2.993)−1.501 (−4.358)−0.579 (−5.223)−0.665 (−1.406)−1.245 (−2.555)

Figures in parentheses are T Statistic; , , and denote statistical significance levels at 10%, 5%, and 1%, respectively.