The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial Development
This paper investigates the impact of foreign-direct investment (FDI) and financial development on economic growth in Malaysia over the period of 1975-2014. According to ARDL bound test approach to co integration analyses, the results found that financial development plays an essential role in media...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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EconJournals
2017-06-01
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| Series: | International Journal of Economics and Financial Issues |
| Online Access: | http://mail.econjournals.com/index.php/ijefi/article/view/4716 |
| _version_ | 1797908500551041024 |
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| author | Ghaith Alzaidy Mohd Naseem Bin Niaz Ahmad Zakaria Lacheheb |
| author_facet | Ghaith Alzaidy Mohd Naseem Bin Niaz Ahmad Zakaria Lacheheb |
| author_sort | Ghaith Alzaidy |
| collection | DOAJ |
| description | This paper investigates the impact of foreign-direct investment (FDI) and financial development on economic growth in Malaysia over the period of 1975-2014. According to ARDL bound test approach to co integration analyses, the results found that financial development plays an essential role in mediating the impact of FDI on economic growth in Malaysia. This implies that well-developed financial sectors lead to further and facilitate FDI spillover and hence yield economic growth, particularly for the case of Malaysia.
Keywords: Financial development, economic growth, FDI, PCA, ARDL
JEL Classifications: F23, O16, O40
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| first_indexed | 2024-04-10T10:53:40Z |
| format | Article |
| id | doaj.art-e1fc34a2a6f5442785813ac40e265055 |
| institution | Directory Open Access Journal |
| issn | 2146-4138 |
| language | English |
| last_indexed | 2024-04-10T10:53:40Z |
| publishDate | 2017-06-01 |
| publisher | EconJournals |
| record_format | Article |
| series | International Journal of Economics and Financial Issues |
| spelling | doaj.art-e1fc34a2a6f5442785813ac40e2650552023-02-15T16:20:04ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382017-06-0173The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial DevelopmentGhaith AlzaidyMohd Naseem Bin Niaz AhmadZakaria LachehebThis paper investigates the impact of foreign-direct investment (FDI) and financial development on economic growth in Malaysia over the period of 1975-2014. According to ARDL bound test approach to co integration analyses, the results found that financial development plays an essential role in mediating the impact of FDI on economic growth in Malaysia. This implies that well-developed financial sectors lead to further and facilitate FDI spillover and hence yield economic growth, particularly for the case of Malaysia. Keywords: Financial development, economic growth, FDI, PCA, ARDL JEL Classifications: F23, O16, O40 http://mail.econjournals.com/index.php/ijefi/article/view/4716 |
| spellingShingle | Ghaith Alzaidy Mohd Naseem Bin Niaz Ahmad Zakaria Lacheheb The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial Development International Journal of Economics and Financial Issues |
| title | The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial Development |
| title_full | The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial Development |
| title_fullStr | The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial Development |
| title_full_unstemmed | The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial Development |
| title_short | The Impact of Foreign-direct Investment on Economic Growth in Malaysia: The Role of Financial Development |
| title_sort | impact of foreign direct investment on economic growth in malaysia the role of financial development |
| url | http://mail.econjournals.com/index.php/ijefi/article/view/4716 |
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