Question:

Table 2: (a) In your opinion, which correlation coefficient was used to obtain the results in Table 2 (there is one correlation matrix; hence, the authors used only one correlation coefficient)?; (b) Critically evaluate whether the selected correlation coefficient was appropriate for the study's type of variables.

Table 2 Descriptive Statistics and Correlations Variable Mean SD 2 3 4 5 6 7 8 9 1 Corruption 2.58 1.57 - 2 Legal institutions 0.00 1.97 0.28* 3 Financial institutions 0.00 1.22 0.26* 0.20* 4 Time for red tape 2.52 1.38 0.16* 0.19* 0.13* 5 Legal alternatives to bribe 3.74 1.67 0.21* 0.30* 0.15* 0.06* 6 Competitor's unfair play 2.17 1.20 0.21* 0.14* 0.21 * 0.11 * 0.1 1 * 7 Shadow economy 3.31 2.50 0.24* 0.16* 0.14* 0.05 8 Investments from family/friends 0.11 * 0.17* 0.16 0.37 0.16* 0.13* 0.09* 0.02 9 Trust toward public officer 0.07 0.13* 0.20* 2.62 1.26 -0.12* 0.06 0.02 0.01 0.05 0.00 0.03 0.02 * p <.01 note: variables to n="2,576;" variable source: the world business environment survey own calculations>