Work

The nexus among foreign investment, domestic capital and economic growth: Empirical evidence from the MENA region

Year: 2013

Type: article

Abstract: The objective of this paper is to estimate an econometric model for analyzing the interrelationship among foreign direct investment, domestic capital and economic growth in 13 MENA countries by using a ‘growth model’ framework and simultaneous-equation models estimated by the generalized method of moments (GMM) during the period 1990–2010. Our empirical results show that there is bi-directional causal relationship between foreign investment and economic growth, as well as domestic capital and economic growth, and there is uni-directional causal relationship from foreign direct investment to domestic capital for the region as a whole.

Source: Research in Economics

DOI: 10.1016/j.rie.2013.11.001

Authors: Anis Omri, Bassem kahouli

Institutions: University of Sfax, Faculty of Economics and Management of Sfax, University of Sousse

Language: English

Topic: International Business and FDI

Subfield: Strategy and Management

Field: Business, Management and Accounting

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: hybrid

Estimated APC paid: $2,950