FDI and Economic Growth Relationship Based on Cross-Country Comparison
This paper aims to investigate empirically the impact of FDI on economic growth for Azerbaijan, Kyrgyz Republic, Kazakhstan, Tajikistan, Turkmenistan, and Uzbekistan over the period 1997-2010. The Johansen cointegration and Granger causality tests are used in order to analyze the causal relationshi...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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EconJournals
2013-04-01
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| Series: | International Journal of Economics and Financial Issues |
| Online Access: | https://www.econjournals.com/index.php/ijefi/article/view/460 |
| _version_ | 1797923686976585728 |
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| author | Faruk Gursoy Ahmet Sekreter Huseyin Kalyoncu |
| author_facet | Faruk Gursoy Ahmet Sekreter Huseyin Kalyoncu |
| author_sort | Faruk Gursoy |
| collection | DOAJ |
| description |
This paper aims to investigate empirically the impact of FDI on economic growth for Azerbaijan, Kyrgyz Republic, Kazakhstan, Tajikistan, Turkmenistan, and Uzbekistan over the period 1997-2010. The Johansen cointegration and Granger causality tests are used in order to analyze the causal relationship between FDI and economic growth. It is crucial to see the directions of causality between two variables for the policy makers to encourage private sectors. The cointegration test results indicated that FDI and Economic Growth variables are cointegrated for Azerbaijan and Turkmenistan. By using Granger Causality test we found that FDI causes GDP for Azerbaijan and bidirectional causality is observed for Turkmenistan.
Keywords: Economic growth; foreign direct investment; Granger causality
JEL Classifications: C32; F21; O4
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| first_indexed | 2024-04-10T14:50:25Z |
| format | Article |
| id | doaj.art-a4d3b9ed277b4e2c8ff6ba3f067e44cf |
| institution | Directory Open Access Journal |
| issn | 2146-4138 |
| language | English |
| last_indexed | 2024-04-10T14:50:25Z |
| publishDate | 2013-04-01 |
| publisher | EconJournals |
| record_format | Article |
| series | International Journal of Economics and Financial Issues |
| spelling | doaj.art-a4d3b9ed277b4e2c8ff6ba3f067e44cf2023-02-15T16:07:37ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382013-04-0132FDI and Economic Growth Relationship Based on Cross-Country ComparisonFaruk Gursoy0Ahmet Sekreter1Huseyin Kalyoncu2International Black Sea University, TbilisiInternational Black Sea University, TbilisiMeliksah University, Kayseri This paper aims to investigate empirically the impact of FDI on economic growth for Azerbaijan, Kyrgyz Republic, Kazakhstan, Tajikistan, Turkmenistan, and Uzbekistan over the period 1997-2010. The Johansen cointegration and Granger causality tests are used in order to analyze the causal relationship between FDI and economic growth. It is crucial to see the directions of causality between two variables for the policy makers to encourage private sectors. The cointegration test results indicated that FDI and Economic Growth variables are cointegrated for Azerbaijan and Turkmenistan. By using Granger Causality test we found that FDI causes GDP for Azerbaijan and bidirectional causality is observed for Turkmenistan. Keywords: Economic growth; foreign direct investment; Granger causality JEL Classifications: C32; F21; O4 https://www.econjournals.com/index.php/ijefi/article/view/460 |
| spellingShingle | Faruk Gursoy Ahmet Sekreter Huseyin Kalyoncu FDI and Economic Growth Relationship Based on Cross-Country Comparison International Journal of Economics and Financial Issues |
| title | FDI and Economic Growth Relationship Based on Cross-Country Comparison |
| title_full | FDI and Economic Growth Relationship Based on Cross-Country Comparison |
| title_fullStr | FDI and Economic Growth Relationship Based on Cross-Country Comparison |
| title_full_unstemmed | FDI and Economic Growth Relationship Based on Cross-Country Comparison |
| title_short | FDI and Economic Growth Relationship Based on Cross-Country Comparison |
| title_sort | fdi and economic growth relationship based on cross country comparison |
| url | https://www.econjournals.com/index.php/ijefi/article/view/460 |
| work_keys_str_mv | AT farukgursoy fdiandeconomicgrowthrelationshipbasedoncrosscountrycomparison AT ahmetsekreter fdiandeconomicgrowthrelationshipbasedoncrosscountrycomparison AT huseyinkalyoncu fdiandeconomicgrowthrelationshipbasedoncrosscountrycomparison |