Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment Attraction
Economic freedoms are essential for the growth and development of countries, but their distribution varies across nations, resulting in differences in economic growth. This study aims to explore the impact of economic freedoms on economic growth, measured by gross domestic product (GDP) per capita a...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Sciendo
2023-06-01
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| Series: | ECONOMICS |
| Subjects: | |
| Online Access: | https://doi.org/10.2478/eoik-2023-0013 |
| _version_ | 1797795022283735040 |
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| author | Štilić Anđelka Mastilo Andrea Vuković Krsto Mastilo Dejan |
| author_facet | Štilić Anđelka Mastilo Andrea Vuković Krsto Mastilo Dejan |
| author_sort | Štilić Anđelka |
| collection | DOAJ |
| description | Economic freedoms are essential for the growth and development of countries, but their distribution varies across nations, resulting in differences in economic growth. This study aims to explore the impact of economic freedoms on economic growth, measured by gross domestic product (GDP) per capita and foreign direct investment (FDI) inflow, by examining the influence of institutional quality. Economic freedom indicators were obtained from the 2022 report by the Heritage Foundation, and GDP per capita and FDI indicators were sourced from the World Bank report. This study employs multivariate regression analysis to investigate the relationship between economic freedoms and economic growth. The findings suggest that economic freedoms have a positive effect on both GDP per capita growth and FDI inflow. Government integrity was found to be the primary indicator for GDP per capita growth, while Business freedom was identified as the key factor in attracting FDI. The implications of these results are significant, as they can inform policy decisions aimed at improving the standard of living by increasing GDP per capita and creating employment opportunities through FDI. |
| first_indexed | 2024-03-13T03:11:35Z |
| format | Article |
| id | doaj.art-240f377d371645e2aafe8a77dd68ca39 |
| institution | Directory Open Access Journal |
| issn | 2303-5013 |
| language | English |
| last_indexed | 2024-03-13T03:11:35Z |
| publishDate | 2023-06-01 |
| publisher | Sciendo |
| record_format | Article |
| series | ECONOMICS |
| spelling | doaj.art-240f377d371645e2aafe8a77dd68ca392023-06-26T10:47:44ZengSciendoECONOMICS2303-50132023-06-01111294410.2478/eoik-2023-0013Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment AttractionŠtilić Anđelka0Mastilo Andrea1Vuković Krsto2Mastilo Dejan31Academy of Applied Studies Belgrade, The College of Tourism, Belgrade, Serbia2Student of Economics at Royal Russell London, London, United Kingdom3Economics and Finance, Queen Mary University of London, London, United Kingdom4Oikos Institute Research Center Bijeljina, Bijeljina, Bosnia and HerzegovinaEconomic freedoms are essential for the growth and development of countries, but their distribution varies across nations, resulting in differences in economic growth. This study aims to explore the impact of economic freedoms on economic growth, measured by gross domestic product (GDP) per capita and foreign direct investment (FDI) inflow, by examining the influence of institutional quality. Economic freedom indicators were obtained from the 2022 report by the Heritage Foundation, and GDP per capita and FDI indicators were sourced from the World Bank report. This study employs multivariate regression analysis to investigate the relationship between economic freedoms and economic growth. The findings suggest that economic freedoms have a positive effect on both GDP per capita growth and FDI inflow. Government integrity was found to be the primary indicator for GDP per capita growth, while Business freedom was identified as the key factor in attracting FDI. The implications of these results are significant, as they can inform policy decisions aimed at improving the standard of living by increasing GDP per capita and creating employment opportunities through FDI.https://doi.org/10.2478/eoik-2023-0013economic freedomsgross domestic productgdp per capitaforeign direct investmentsgrowthemploymentc35f43o11 |
| spellingShingle | Štilić Anđelka Mastilo Andrea Vuković Krsto Mastilo Dejan Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment Attraction ECONOMICS economic freedoms gross domestic product gdp per capita foreign direct investments growth employment c35 f43 o11 |
| title | Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment Attraction |
| title_full | Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment Attraction |
| title_fullStr | Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment Attraction |
| title_full_unstemmed | Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment Attraction |
| title_short | Innovative Solutions for Economic Growth: Exploring the Impact of Economic Freedoms on Foreign Direct Investment Attraction |
| title_sort | innovative solutions for economic growth exploring the impact of economic freedoms on foreign direct investment attraction |
| topic | economic freedoms gross domestic product gdp per capita foreign direct investments growth employment c35 f43 o11 |
| url | https://doi.org/10.2478/eoik-2023-0013 |
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