We employ the panel-corrected ordinary least squares (OLS-PCSE) estimation of Beck and Katz (1995) to estimate thestatic model in Eq. (1) taking into the account the error structure of Eq. (1). For the dynamic model in Eq. (2), we employthe generalized method of moment (GMM) estimations of Holtz-Eakin et al. (1988), Arellano and Bond (1991), Arellano andBover (1995) and Blundell and Bond (1998) in order to deal with simultaneity bias with the inclusion of the lagged dependentvariables among the independent variables