The nexus between governance factors and foreign direct investments: Evidence from panel data
Year: 2018
Type: article
Abstract: In recent years, Foreign Direct Investments (FDI) has been a vastly discussed economic term by both researchers and policy-makers.Foreign expertise provides various economic beneits to the host countries through improving existing production processes, increasing competitiveness, and reducing disparities in welfare.Foreign direct investment lows could be inluenced by several institutional, economic and political factors.This paper aims to check up on the empirical relation between FDI and these factors in a panel of 12 countries for the 2002-2015 time period.In analysis, we employed an empirical method that considers cross-sectional dependence.Therefore, we explored long-term relations between variables through an estimation approach using Westerlund (2008) Durbin Hausman cointegration method and AMG estimator after unit root tests of variables.Empirical results clarify a positive connection between FDI and governance factors for some countries in the panel.
DOI: 10.20474/jabs-4.1.1
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W3168637657