Determinants of FDI inflow in Asia

2015 ◽  
Vol 3 (3) ◽  
pp. 9
Author(s):  
Anita Hasli ◽  
Catherine S F Ho ◽  
Nurhani Aba Ibrahim

The research analyses the determinants of FDI inflow in Asia for the period 1993-2013 and is based on the fixed effect model. The macroeconomic factors included are lending rate, GDP per capita, trade openness, debt, exchange rate, money supply and unemployment rate. The country specific factors included are adult literacy rate, gross fixed capital formation, domestic credit provided by the financial sector, environmental pollution and natural resources rents. The study applies panel unit root tests, panel cointegration analysis and panel regression analysis based on the fixed effect model to ascertain the significance of macroeconomic and country specific factors on FDI inflow in Asia. The study found that lending rate, trade openness and money supply have a positive significance to FDI per capita whereas debt, unemployment rate and environmental pollution have a negative significance to FDI per capita.   

Author(s):  
Tania Megasari ◽  
Samsubar Saleh

This study aims to analyze the determinants of foreign direct investment (FDI) in the Organization of Islamic Cooperation (OIC) country members for the period 2005 to 2018 The determinant variables of FDI are corruption, political stability and macroeconomic variables such as inflation, exchange rates, economic growth, and trade openness. Analysis used in the study  is the fixed effect model (FEM) of the OIC data panel.The results showed that economic growth and trade openness had a significant influence on foreign direct investment (FDI), while the effects of corruption, political stability, inflation and the exchange rate have no significant effect on foreign direct investment (FDI).


2020 ◽  
Vol 35 (2) ◽  
pp. 137
Author(s):  
Kalies Sirieh Puspitowati ◽  
Deden Dinar Iskandar

This study aims to analyze the determinants of the structural transformation in ASEAN countries. This study uses quantitative panel data from 9 countries in ASEAN from 2000 to 2017, thus makes up for 162 observations. This study employs panel data regression analysis with fixed effect model approach. In this study, the shifting of sectoral value added away from agriculture sectors indicates structural transformation. In particular, sectoral value added consists of the industrial value added and service value added. The results of this study shows that dependency ratio, income per capita, education, and trade significantly affect the increase of industrial value added during observation period. On the other hand, total population, dependency ratio, income per capita, education, control of corruption, and trade significantly increase the service value added over time.


2021 ◽  
Vol 2 (3) ◽  
pp. 110-117
Author(s):  
Tarmizi Zulkifli Abdurachman ◽  
Sofyan Syahnur ◽  
Putri Bintusy Syathi

As a country with the second-highest unemployment rate, Indonesian policymakers should worry about this condition. Based on the macroeconomic perspective, unemployment is affected by the firms' labour demand. It highlights that the firm's profit or loss highly determines the labour force demand. Using the Fixed Effect Model, this study results show that the labour force significantly affects industrial output, and the changes of industrial output highly increase the labour demand in the market. However, foreign and domestic capital neither significantly reduce unemployment rate in Indonesia nor stimulate the large and medium industries to absorb labour in the market. The Government should utilize foreign and domestic capital efficiently as possible to reduce unemployment rate.


Author(s):  
​Cuma Bozkurt ◽  
İlyas Okumuş

The purposes of this study is to investigate the relationship between per capita CO2 emissions, per capita energy consumption, per capita real GDP, the squares of per capita real GDP, trade openness and Kyoto dummies in selected 20 EU countries over the periods from 1991 to 2013 in order to analyze the connection between environmental pollution and Kyoto Protocol using Environmental Kuznets Curve (EKC) framework. According to EKC hypothesis, there is an inverted-U shape relation between environmental pollution and economic growth. Generally, the relationship between environmental pollution, per capita GDP and energy consumption has been analyzed for testing EKC hypothesis. In this study, it is used dummy variable to analyze the effects of Kyoto protocol on environmental degradation in the context of EKC hypothesis model. The dummy variable indicates Kyoto Protocol agreement year 2005. The results show that there is long run cointegration relationship between CO2, energy consumption, GDP growth, and the squares of GDP growth, trade openness and Kyoto dummy variable. Energy consumption and GDP growth increase the level of CO2 emissions. On the contrary, Kyoto dummy variable de­creases CO2 emissions in EU countries. In addition, the results reveal that the squares of per capita real GDP and trade openness rate are statistically insignificant. As a result of analysis, the inverted-U shape EKC hypothesis is invalid in these EU countries over the periods from 1991 to 2013.


2020 ◽  
Vol 32 (2) ◽  
pp. 45-59
Author(s):  
Purna Man Shrestha

The impact of bank specific factors on the financial performance of Nepalese commercial banks is analyzed in this paper. The financial performance is measured by using return on assets (ROA). Similarly, managerial efficiency (ME), liquidity (LIQ), credit risk (CR), assets quality (AQ) and operational efficiency (OE) is used as proxy of bank specific factors. This study used panel data of 17 commercial banks for the period of 2010/11 to 2017/18. Breusch and Pagan Lagrangian multiplier test showed that Pooled Regression model is not appropriate and Hausman test concluded that Fixed Effect model is appropriate rather than Random Effect model. Using the Fixed Effect model; this study concludes that bank specific factors have significant impact on financial performance of Nepalese commercial banks. Finally, this study reveals that ME, AQ and OE have significant positive impact, and CR has negative impact on the financial performance of Nepalese commercial banks.  


2020 ◽  
Vol 5 (2) ◽  
pp. 29
Author(s):  
Novida Henidar ◽  
Firmansyah Firmansyah

<p align="justify">The study was examined of Indonesian export of seaweed commodity (HS 121221) in 13 main export destination country (China, Korea, Vietnam, Chilli, Hong Kong, France, Spain, the Philippines, Denmark, Japan, Malaysia, Tunisia, and the United States) by using method of RCA (Revealed Comparative Advantage) index and EPD (Export Product Dynamics) index, and factors affecting the export of Indonesian seaweed to the main export destinations for 2012-2018. The Panel data regression method with a fixed-effect model is used to analyze the export model from the demand and supply side. The results showed that within 7 years period (2012-2018), RCA (Revealed Comparative Advantage), trade openness, and GDP had a positive and significant effect while LCU (Local Currency Unit), Consumer Price Index (CPI), and seaweed prices international influence negatively and significantly.</p>


2012 ◽  
Vol 57 (01) ◽  
pp. 1250005 ◽  
Author(s):  
JR-TSUNG HUANG ◽  
KUANG-TA LO ◽  
PO-WEN SHE

The purpose of this study is to investigate whether and to what extent fiscal decentralization affects tax effort of local governments in China after the Tax Sharing System (TSS). This research provides different indexes of tax effort and fiscal decentralization in analysis. By using the panel data of 31 regions in China during the period of 1996–2006 and the two-way fixed-effect model, the empirical results show that fiscal decentralization has a significantly positive impact on tax effort of local governments. In addition, this positive influence of fiscal decentralization on tax effort increases over time. Finally, trade openness and industrialization level also will enhance the local government's tax effort.


2016 ◽  
Vol 18 (4) ◽  
pp. 409-430 ◽  
Author(s):  
Azka Azifah Dienillah ◽  
Lukytawati Anggraeni

Financial inclusion is one of strategy to increase inclusive growth in Asian countries. However, it may cause either stability or instability in the financial system. Therefore, this research aimed to analyze the relationship between financial inclusion and financial stability and to analyze factors that affect the stability of the financial system in seven Asian countries in the periode of 2007-2011. The methods used are Pearson correlation and Fixed Effect Model. The results show that there is negative correlation at 5% significant level between financial inclusion and financial stability. Factors that significantly affect the financial stability are financial inclusion, financial stability in the previous period, non-FDI capital flows to GDP, the ratio of current assets to deposits and Short-term funding, and GDP per capita. Thus the increase in financial inclusion, current assets of banking, GDP per capita, and the portfolio investment can become the strategies to improve the financial stability (Bank z score) on the determined and future year.


2017 ◽  
Vol 10 (1) ◽  
Author(s):  
Bang Jessica Santiyano ◽  
Kim Sung Suk

<p>This study aims to examine the effect of bank-specific factors, market structure and macroeconomic to intermediation efficiency of bank as measured by the spread. The data used as many as 99 conventional commercial banks in Indonesia from 2004 to 2013. Panel data estimation method uses the fixed effect model. Results showed that risk averse has positive effects on spread. Income diversification has negative effect on the spread. Other results show that bad loans and liquidity have negative effect on spread. While the operating costs, the market concentration, economic growth, and inflation has negativve effect on spread.<br />Keywords: bank efficiency, risk averse, income diversification</p>


2019 ◽  
Vol 1 (1) ◽  
pp. 19
Author(s):  
Iswahyu Ramadhani ◽  
Rahadi Nugroho

This study aims to examine the effect of regional GDP per capita, economic activities, number of workforce, number of tax service office, and trade openness on tax capacity of income tax article 21 and individual tax article 25/29 to find out if there factors that can be used in determining the target of individual income tax in each region. This research is quantitative research with multiple linear regression. The sample used in this research is data from 34 Province in Indonesia from 2015 to 2017 with total of 102 observations. The model examination is conducted by panel data regression with random effect model. The result of this study shows that the regional GDP per capita, economic activities, and number of workforce is significantly associated to tax capacity of income tax article 21 and individual tax article 25/29. Furthermore the trade openness is not associated to tax capacity of income tax article 21 and individual tax article 25/29.


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