Private capital flows to low‐income countries : the role of domestic financial sector.
The relationship between private capital flows and growth has been examined extensively in the literature, yet numerous controversies still remain. The study examines the relationships among private capital flows (foreign direct investment, portfolio investment and foreign debt), financial developm...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English English |
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Taylor & Francis
2010
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| Online Access: | http://psasir.upm.edu.my/id/eprint/16348/1/Private%20capital%20flows%20to%20low.pdf |
| _version_ | 1825945798685229056 |
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| author | Choong, Chee-Keong Lam, Siew-Yong Yusop, Zulkornain |
| author_facet | Choong, Chee-Keong Lam, Siew-Yong Yusop, Zulkornain |
| author_sort | Choong, Chee-Keong |
| collection | UPM |
| description | The relationship between private capital flows and growth has been examined extensively in the literature, yet numerous controversies still remain. The study examines
the relationships among private capital flows (foreign direct investment, portfolio investment and foreign debt), financial development and economic performance in a sample
of 16 low-income developing countries over the period 1988–2006, by employing generalized method of moments (GMM) panel data analysis. We find that private capital flows have a positive impact on growth in low-income countries with well-developed financial sector but have a negative effect in the presence of poor financial sector development.
Well-developed financial sectors are ones that are themselves crucial for economic growth. Our results indicate that private capital flows would be more effective if they were more systematically conditional on well-developed financial systems. |
| first_indexed | 2024-03-06T07:37:09Z |
| format | Article |
| id | upm.eprints-16348 |
| institution | Universiti Putra Malaysia |
| language | English English |
| last_indexed | 2024-03-06T07:37:09Z |
| publishDate | 2010 |
| publisher | Taylor & Francis |
| record_format | dspace |
| spelling | upm.eprints-163482015-11-03T07:18:47Z http://psasir.upm.edu.my/id/eprint/16348/ Private capital flows to low‐income countries : the role of domestic financial sector. Choong, Chee-Keong Lam, Siew-Yong Yusop, Zulkornain The relationship between private capital flows and growth has been examined extensively in the literature, yet numerous controversies still remain. The study examines the relationships among private capital flows (foreign direct investment, portfolio investment and foreign debt), financial development and economic performance in a sample of 16 low-income developing countries over the period 1988–2006, by employing generalized method of moments (GMM) panel data analysis. We find that private capital flows have a positive impact on growth in low-income countries with well-developed financial sector but have a negative effect in the presence of poor financial sector development. Well-developed financial sectors are ones that are themselves crucial for economic growth. Our results indicate that private capital flows would be more effective if they were more systematically conditional on well-developed financial systems. Taylor & Francis 2010 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/16348/1/Private%20capital%20flows%20to%20low.pdf Choong, Chee-Keong and Lam, Siew-Yong and Yusop, Zulkornain (2010) Private capital flows to low‐income countries : the role of domestic financial sector. Journal of Business Economics and Management, 11 (4). pp. 598-612. ISSN 1611-1699 Capital movements - Developing countries. Investments, Foreign - Developing countries. 10.3846/jbem.2010.29 English |
| spellingShingle | Capital movements - Developing countries. Investments, Foreign - Developing countries. Choong, Chee-Keong Lam, Siew-Yong Yusop, Zulkornain Private capital flows to low‐income countries : the role of domestic financial sector. |
| title | Private capital flows to low‐income countries : the role of domestic financial sector.
|
| title_full | Private capital flows to low‐income countries : the role of domestic financial sector.
|
| title_fullStr | Private capital flows to low‐income countries : the role of domestic financial sector.
|
| title_full_unstemmed | Private capital flows to low‐income countries : the role of domestic financial sector.
|
| title_short | Private capital flows to low‐income countries : the role of domestic financial sector.
|
| title_sort | private capital flows to low income countries the role of domestic financial sector |
| topic | Capital movements - Developing countries. Investments, Foreign - Developing countries. |
| url | http://psasir.upm.edu.my/id/eprint/16348/1/Private%20capital%20flows%20to%20low.pdf |
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