scholarly journals Determinants of FDI inflows to Next 11 countries: A panel data analysis

2021 ◽  
Vol 10 (6) ◽  
pp. 159-165
Author(s):  
Nusrat Jahan ◽  
Sujan Chandra Paul
Keyword(s):  
Panel Data ◽  
Natural Resource ◽  
Resource Availability ◽  
Developing Economies ◽  
Panel Data Analysis ◽  
Trade Openness ◽  
Market Size ◽  
Economic Stability ◽  
Data Set ◽  
Fdi Inflows

As the inclination to FDI shifts from developed to developing economies, investors are flocking to emerging markets, particularly to the Next-11 nations, which render additional growth and investment opportunities. Meanwhile, these countries have become popular FDI destinations; the goal of this study is to look at the major factors that make these countries appealing to FDI destinations. As a result, this research examines the factors that influenced FDI inflows into these nations from 1995 to 2019. Market size, trade openness, natural resource availability, economic stability, and infrastructure facilities are among the potential explanatory factors identified in this research. On the panel data set, which includes data from 11 nations, a fixed-effect model is used. The data show that market size, trade openness, natural resource availability, and economic stability are all possible predictors of FDI inflows to these nations, whereas infrastructure appears to be a minor one.  

scholarly journals Determinants of Foreign Direct Investment: A Panel Data Analysis for Sub-Saharan African Countries

2019 ◽  
Vol 9 (1) ◽  
pp. 80-87 ◽  
Author(s):  
Semra Boğa
Keyword(s):  
Data Analysis ◽  
Panel Data ◽  
Panel Data Analysis ◽  
Trade Openness ◽  
Gdp Growth ◽  
Annual Data ◽  
African Countries ◽  
Fdi Inflows ◽  
Sub Saharan ◽  
Determinants Of Fdi

The aim of this study is to investigate the determinants of FDI inflows in Sub-Saharan African countries. In this study, panel data analysis was performed by using annual data from 23 countries for the period of 1975-2017. The Pesaran (2004) Cross-Section Dependence Test was performed to test correlation and IPS Unit Root Test was applied to reveal the stationary level between the units. Based on the PMG estimator results GDP growth, trade openness, domestic credit, natural resources and telecommunication infrastructure are all found to be the determinants of FDI inflows in Sub-Saharan countries in the long term. But, in the short term, only the GDP growth and trade openness determines the FDI inflows.

scholarly journals The Determinants of Services Sector Growth: A Comparative Analysis of Selected Developed and Developing Economies

2018 ◽  
Vol 57 (1) ◽  
pp. 27-44
Author(s):  
Muhammad Salam ◽  
Javed Iqbal ◽  
Anwar Hussain ◽  
Hamid Iqbal
Keyword(s):  
Panel Data ◽  
Developing Economies ◽  
Panel Data Analysis ◽  
Trade Openness ◽  
Dynamic Panel Data ◽  
Services Sector ◽  
Panel Data Estimation ◽  
The Common ◽  
Data Estimation ◽  
Dynamic Panel Data Estimation

This study empirically examines the possible factors that determine the services sector growth, both in selected developed and developing economies. For estimation purpose, the study employs the static as well as the dynamic panel data estimation technique with panel data over the period 1990-2014. The results suggest that GDP per capita, FDI net inflow, trade openness and innovations are the common factors that significantly affect the services sector growth both in developed and in developing economies. However, the productivity gap is the only factor that does not have any significant impact on services sector growth, both in developed and developing economies, which indicates that the Baumol's cost disease has been cured. Keywords: Services Sector Growth, Panel Data Analysis, Innovations

scholarly journals Determinants of FDI Inflows to Developing Countries: A Panel Data Analysis

2013 ◽  
Vol 14 (2) ◽  
pp. 28-47
Author(s):  
Qayoom Ab ◽  
Ramachandran Muthiah ◽  
Sofi Irfan
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Panel Data Analysis ◽  
Market Size ◽  
Host Countries ◽  
Fdi Inflows ◽  
Labour Costs ◽  
Main Determinants ◽  
Using Data ◽  
Determinants Of Fdi

The aim of this paper is to identify, by estimating a panel econometric model, the factors determining FDI inflows to developing countries over a long period. The study is based on a sample of 32 developing countries. In our analysis, FDI inflows are modeled as a function of the market size, total reserves, infrastructure, labour cost and degree of openness-for the host countries. Using data from 1982 to 2008, a panel data estimator suggests that the market size, total reserves, infrastructure and labour costs are the main determinants of FDI inflows to developing countries. Our interesting finding is that openness of an economy is insignificant in determining the FDI inflows.

scholarly journals Political Economy of Discretionary Transfers: A Dynamic Panel Data analysis of Indian States

2018 ◽  
Vol 5 (01) ◽  
Author(s):  
Chittaranjan Nayak ◽  
. PriyabrataSatpathy
Keyword(s):  
Political Economy ◽  
Panel Data ◽  
Fiscal Federalism ◽  
Panel Data Analysis ◽  
Dynamic Panel Data ◽  
Intergovernmental Transfers ◽  
Estimation Model ◽  
Indian States ◽  
Data Set ◽  
National Governments

Intergovernmental transfers are a major instrument to ensure smooth functioning of ‘Fiscal federalism’ in India. But the mechanism of Central transfers in India seems to be confusing and overlapping. Although a formula-based practice has been mandated by the Indian Constitution, there are several breaks in the practice. While predetermined formulas are used for some transfers, there is considerable discretion in allocating other classes of transfers. This paper makes an attempt to focus on the determinants that influence the quantum of discretionary transfer to sub-national governments from a political economy perspective. Taking a panel data set of 28 states for the period 2001 to 2011, and by using Arrellana-Bover (1995)/ Blundell-Bond (1998) system estimation model, the paper observes that the chosen variables do explain disparity in Central fund disbursement under non formulaic discretionary head in a robust way. The study has analysed the results separately for SCS and NSCS and in combine. The findings of the study reveal that the chosen variables have different outcomes for SCS and NSCS. However, when SCS and NSCS states are combined, the variables like fiscal capacity, fiscal performance and coalition status are found to be significant.

Determinants of United Kingdom General Insurance Company Performance

2004 ◽  
Vol 10 (5) ◽  
pp. 1079-1110 ◽  
Author(s):  
Y. Shiu
Keyword(s):  
United Kingdom ◽  
Panel Data ◽  
Performance Measures ◽  
Panel Data Analysis ◽  
Ordinary Least Squares ◽  
Insurance Companies ◽  
Company Performance ◽  
Insurance Company ◽  
Data Set ◽  
General Insurance

ABSTRACTDynamic financial analysis has become one of the important tools that actuaries use to model the underwriting and investment operations of insurance companies. The first step in carrying out the analysis is to investigate the most important factors affecting company performance. This paper identifies the determinants of the performance of United Kingdom general insurance companies using a panel data set consisting of economic data and Financial Services Authority/Department of Trade and Industry returns over the period 1986 to 1999. Three performance measures are used to capture different aspects of insurance operations. These measures are related to a number of economic and firm specific variables, chosen on the basis of relevant theory and literature. An ordinary least squares regression model and two panel data models are estimated for each of three performance measures. This paper also addresses several important econometric problems that are usually ignored in applied work in the context of panel data analysis. Based on the empirical results, this study finds that liquidity, unexpected inflation, interest rate level and underwriting profits are statistically significant determinants of the performance of U.K. general insurers.

Determinants of FDI in developed and developing countries: a quantitative analysis using GMM

2018 ◽  
Vol 45 (2) ◽  
pp. 348-382 ◽  
Author(s):  
Neha Saini ◽  
Monica Singhania
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Multinational Corporations ◽  
Management Practices ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Trade Openness ◽  
Content Type ◽  
Generalized Moments ◽  
Determinants Of Fdi

PurposeThe purpose of this paper is to investigate the potential determinants of FDI, in developed and developing countries.Design/methodology/approachThis paper investigates FDI determinants based on panel data analysis using static and dynamic modeling for 20 countries (11 developed and 9 developing), over the period 2004-2013. For static model estimations, Hausman (1978) test indicates the applicability of fixed effect/random effect, while generalized moments of methods (GMM) (dynamic model) is used to capture endogeneity and unobserved heterogeneity.FindingsThe outcome across different countries depicts diverse results. In developed countries, FDI seeks policy-related determinants (GDP growth, trade openness, and freedom index), and in developing country FDI showed positive association for economic determinants (gross fixed capital formulation (GFCF), trade openness, and efficiency variables).Research limitations/implicationsThe destination of FDI is limited to 20 countries in the present paper. The indicator of the institutional environment, namely economic freedom index, used in this paper has received some criticism in calculations.Practical implicationsThe paper enlists recommendations for future FDI policies and may assist government in providing a tactical framework for skill development, thereby increasing manufacturing growth rate. The paper also throws light on vertical and horizontal capital inflows considering resource, strategy, and market-seeking FDI.Social implicationsFDI may bring significant benefits by creating high-quality jobs, introducing modern production and management practices. It highlights how multinational corporations and government contribute to better working conditions in host countries.Originality/valueThe paper uncovers important features like macroeconomic variables, especially country-wise efficiency scores, policy variables, GFCF, and freedom index, for determining FDI inflows in 20 countries using panel data methods and provides a roadmap for developed and developing countries. The study highlights endogeneity and unobserved heteroscedasticity by applying GMM one- and two-step procedure.

scholarly journals Determinants of Foreign Direct Investment in Middle-Income Countries: New Middle-Income Trap Evidence

2017 ◽  
Vol 8 (1) ◽  
pp. 58-70 ◽  
Author(s):  
Ioannis A. Tampakoudis ◽  
Demetres N. Subeniotis ◽  
Ioannis G. Kroustalis ◽  
Manolis I. Skouloudakis
Keyword(s):  
Direct Investment ◽  
Panel Data Analysis ◽  
Trade Openness ◽  
Emerging Countries ◽  
Middle Income ◽  
Fdi Inflows ◽  
Middle Income Countries ◽  
Economic Level ◽  
Middle Income Trap ◽  
Gathering Data

Abstract The determinants of FDI have been examined extensively in the literature; however, the empirical findings are inconclusive and often diverging. Developing and emerging countries have attracted the bulk of FDI inflows since the early 2000s, subsequently improving their economic level. Nevertheless, many middle-income countries got stuck in the middle-income trap, failing to make the transition to the high-income level. The study investigates the effects of certain determinants on FDI inflows to middle-income countries, with respect to avoiding the middle-income trap. We employ a panel data analysis for fifteen middleincome countries gathering data from 1980 onwards. The results highlight the significance of trade openness, GDP and population growth on inward FDI, while financial development, inflation, infrastructure and fuel exports are found to be insignificant. Empirical findings may force governments to apply policies in certain areas, with the aim of attracting further FDI while at the same time escaping the middle-income trap.

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