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Factors Affecting The Political Risk

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N
Valid
32
Missing
0
Mean
57.508681
Mode
69.2222
Std. Deviation
16.3290177
Variance
266.637
Skewness
-.275
Std. Error of Skewness
.414
Kurtosis
-.818
Std. Error of Kurtosis
.809
The average press freedom in the 32 SSA countries in this study is 57.5, which implies the press in the region is largely partly free.

The dependent variable is the political risk. It provides an overview of the political stability in a particular country. The scale is designed to show the greatest value to the lowest risk and the lowest value of the highest risk. Economic, demographic, and geographic indicators are also included in the econometric specifications being control variables thus ensuring the analysis affecting the political risk. The political risk
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Deviation
7.291
Variance
53.157
Skewness
.308
Std. Error of Skewness
.414
Kurtosis
-1.091
Std. Error of Kurtosis
.809

Preliminary analysis of the literacy rate indicates that the SSA region has an average literacy rate of 73% which is moderately low compared to the average global literacy rate of 84%.
SPSS data is categorized as nominal, ordinal or scale, whereby nominal data is a variable without intrinsic ranking, ordinal variables have intrinsic ranking while scale variables represent data with meaningful metrics to allow for data comparisons. all the three variables in this study are scale variables implying that their values can facilitate comparison between the data of each country.
Method
To normalize the data in order to ensure accurate analysis, the indices on press freedom and political risk were averaged for the period between 1996 and 2013. IBM’s SPSS was used to identify correlations between the press freedom and political risk through linear regression.
Without the control:
Model Summary
Model
R
R Square
Adjusted R
Std. Error of the
Square
Estimate
1
.734a
.538
.523
.1162246
a. Predictors: (Constant), Press Freedom Index

ANOVAa
Model
Sum of Squares df Mean Square
F
Sig.
1
Regression
.473
1
.473
34.983
.000b
Residual
.405
30
.014

Total
.878
31

a. Dependent Variable: Political Risk Index
b. Predictors: (Constant), Press Freedom Index

Coefficientsa
Model
Unstandardized
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