Models of Foreign Direct Investments Influence on Economic Growth. Evidence from Romania

Roman, Mihai Daniel; Padureanu, Andrei

doi:10.7763/ijtef.2012.v3.167

Cited by 18 publications

(10 citation statements)

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“…The original annual data for 1992-2012 were taken from the OECD's public database. The adoption of the above-mentioned explanatory variables for GDP results from the make-up of the Cobb-Douglas component functions and research methodology adopted by many authors, among others, by Dimelis -Papoioannou (2010), Roman -Padureanu (2012), and Driffield -Jindra (2012), who analysed the FDI effect on economic growth in host countries.…”

Section: Results Of Selected Empirical Analyses Of the Fdi-economic Gmentioning

confidence: 99%

Verification of the relationship between FDI and GDP in Poland

Kosztowniak

2016

Acta Oeconomica

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ANETA KOSZTOWNIAKThe paper analyses the impact of the factors of production on economic growth in Poland in the years 1992-2012, with particular focus on the impact of foreign direct investment (FDI), and strives to verify whether a causality relationship occurred between GDP and FDI, i.e. whether high GDP dynamics attracted FDI infl ows and whether this investment contributed to GDP growth. The Vector Error Correction Method impulse responses and variance decomposition analysis confi rmed the bi-directional relationships between FDI and GDP in Poland. However, the impact of GDP on attracting FDI infl ows to Poland is stronger than that of FDI on GDP growth. Polish developmental policy should concentrate on three essential determinants (pillars) of growth, namely employment growth, attracting FDI (with emphasis on improvement in the type of infl owing investment), and increasing the value and productivity of domestic investment.

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Section: Results Of Selected Empirical Analyses Of the Fdi-economic Gmentioning

confidence: 99%

Verification of the relationship between FDI and GDP in Poland

Kosztowniak

2016

Acta Oeconomica

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“…Furthermore, Tang, Selvanatha, and Selvanathan (2008) investigate the causal link between foreign direct investment, domestic investment and economic growth in China and show that domestic investment and economic growth are positively correlated and find a bi-directional causality between them. Roman and Padureanu (2012) analysed the relation between domestic investments, FDIs and economic growth using a Cobb-Douglas function and proved a positive relationship. Ionescu (2015) showed that the worst situation of the FDIs in Romania after the crisis is accompanied by low domestic investment flows and pointed out the negative impact of some political and institutional factors on investments.…”

Section: Literature Reviewmentioning

confidence: 99%

Consumption vs. Investments for stimulating economic growth and employment in the CEE Countries – a panel analysis

Rădulescu

Şerbănescu

Sinisi

2019

Economic Research-Ekonomska Istraživanja

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The aim of this paper is to find out if the high economic growth rates achieved by the CEE countries are based either on consumption or on investments, considering many exogenous factors that impact on the economic growth and how these factors can contribute to the employment process in the CEE economies to stress if these trends of economic growth and employment are sustainable in the long run. We performed two Panel Least Squares and Pool Least Squares estimations to determine the impact of the exogenous variables on the economic growth (as GDP per capita growth) and on the unemployment rate in the short and long run, depending on the lags of the exogenous variables used in the analysis. We used yearly data series during 2004-2017 for eight selected CEE countries. Our results show that private consumption is positively related with economic growth in the short run, but it doesn't support the job creation process, in the same way as the savings rate can't determine positive effects on the employment. Public spending is strongly and negatively correlated with economic growth and positively correlated with the unemployment rate in the CEE region, while the net export is weakly impacting on the economic growth in the CEE region and doesn't support the employment process in this area. The impact of the domestic investments on the economic growth is weaker in the CEE area than the impact of both private and public spending, but they are positively correlated with the economic growth and negatively correlated with the unemployment rate, while the correlation of the foreign direct investments (FDIs) with both economic growth and unemployment is very weak, as it is the case of net exports. We conclude that the economic growth in the CEE area is mainly based on the private consumption in the short run but the private consumption doesn't support the job creation process either in the long run or in the short run. The qualitative factors included in the analysis by using global competitiveness index (corruption control, bureaucracy, infrastructure quality, governance effectiveness, political stability, ARTICLE HISTORY

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“…Benzuidenhout [11] found a negative relationship between FDI and growth but no relationship between aid and growth. Roman and Padureanu [49] found that FDI and capital endowments are positively correlated with GDP in Romania, but what was not expected was the fact that the human capital was negatively correlated with GDP evolution. As the authors stated, the last fact is explained by the reduction of Romanian population in 1995-2004.…”

Section: Review Of Empirical Studiesmentioning

confidence: 89%

Foreign Direct Investment (FDI) and Nigerian Economic Growth

Okegbe¹

2019

IJAFRM

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This study evaluated the extent to which Foreign Direct Investment (FDI) has contributed to the Gross Domestic Product (GDP) in Nigeria from 2000 to 2017. In the course of this study, three hypotheses were formulated in line with the objectives of the study. Ex-Post Facto research design was employed for the study. Regression analysis technique was adopted with the aid of E-view version 9.0 in testing the hypotheses. The study revealed that foreign direct investment on financial sector has positive and significantly affected Gross Domestic Product in Nigeria. It also showed that Foreign Direct Investment on oil sector has positive and significantly affected Gross Domestic Product in Nigeria. Another finding is that Foreign Direct Investment on non-oil sector has positive and significantly affected Gross Domestic Product in Nigeria. the study therefore conclude that inflow of FDI into the Nigerian economy for the stipulated period this research was carried out (2000)(2001)(2002)(2003)(2004)(2005)(2006)(2007)(2008)(2009)(2010)(2011)(2012)(2013)(2014)(2015)(2016)(2017), showed that FDI was a major contributor to economic growth of the nation Based on the findings, the researcher recommended among other things that Policy makers should devise strategies to increase the FDI on financial sector and offer incentive for long investing and listing on the stock market so that the main objective of the government to stimulate growth will be fulfilled.

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Models of Foreign Direct Investments Influence on Economic Growth. Evidence from Romania

Cited by 18 publications

References 1 publication

Verification of the relationship between FDI and GDP in Poland

Verification of the relationship between FDI and GDP in Poland

Consumption vs. Investments for stimulating economic growth and employment in the CEE Countries – a panel analysis

Foreign Direct Investment (FDI) and Nigerian Economic Growth

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