scholarly journals The Role of E-Government in Promoting Foreign Direct Investment Inflows

2021 ◽  
Vol 16 (141) ◽  
Author(s):  
Ali Al-Sadiq

The outbreak of the COVID-19 pandemic has helped accelerate the digitization of public services. The lockdown initiated by most governments to curb the spread of the coronavirus forced most public agencies to switch to online platforms to continue providing information and services to the public. It is widely recognized that information diffusion and communication technology play a large role in improving the quality of public services in terms of time, cost, and interface with the public, business, and other agencies. Potentially, e-government could enhance a country’s locational advantages and attract more Foreign Direct Investment (FDI) inflows. This hypothesis is tested empirically using an unbalanced panel data analysis for 178 host countries over the period 2003-2018. The results suggest that e-government stimulates the inflow of FDI.

2020 ◽  
Vol 130 (628) ◽  
pp. 937-955
Author(s):  
Matej Bajgar ◽  
Beata Javorcik

Abstract This article argues that inflows of foreign direct investment can facilitate export upgrading in host countries. Using customs data merged with firm-level information for 2005–11, it shows a positive relationship between the quality of products exported by Romanian firms and the presence of multinational enterprises (MNEs) in the upstream (input-supplying) industries. Export quality is also positively related to MNE presence in the downstream (input-sourcing) industries and the same industry, but these relationships are less robust. These conclusions hold both when the product quality is proxied with unit values and when it is estimated following the approach of Khandelwal et al. (2013).


2010 ◽  
pp. 38-56
Author(s):  
Phan Nguyen Dinh

This paper examines the role of financial development in growth and sources of growth in Vietnam by using provincial data. The results show that financial development impacts posi- tively on the efficiency of using savings, on the quantity and the quality of investment, on pro- ductivity, and hence on growth. In addition, there is an indirect impact of financial develop- ment on growth through increasing the quantity of foreign direct investment rather than the quality.


2016 ◽  
Vol 13 (4) ◽  
pp. 266-274
Author(s):  
Giuseppina Talamo

In recent years, Foreign Direct Investment has become an increasingly important feature of the globalized economy. The importance of FDI flows raises several of important questions. First of all is the question of the impact of FDI on host and home countries. Second crucial question is about FDI flows during the recent financial crisis and the role of FDI flows in promoting growth in less developed countries. Then,what can host countries do to become more attractive to foreign investors, and benefit from their activities?


2011 ◽  
Vol 50 (4II) ◽  
pp. 423-433 ◽  
Author(s):  
Zafar Mueen Nasir ◽  
Arshad Hassan

This study empirically examines the role of economic freedom, market size and exchange rates in attracting foreign direct investment in south Asian countries for the period 1995-2008 by employing panel data analysis in fixed effect setting. Results clearly indicate the presence of significant positive relationship between economic freedom and FDI inflows in South Asian countries during the period of study. The real effective exchange rate was having negative association with it indicating that depreciation in host country currency negatively influences the inflow of FDI to that country. Therefore, monetary policy should focus on providing stability to currencies of host countries. The model explains approximately 90 percent of total variation in FDI. The paper concludes that South Asian countries should make concerted efforts in devising polices that improve level of economic freedom. In other words, they should provide more investment friendly climate, trade openness, efficient monetary and fiscal policies and freedom from corruption. This can help to attract more foreign direct investment in the South Asian countries.


2019 ◽  
Vol 11 (24) ◽  
pp. 7231 ◽  
Author(s):  
Antonio Sánchez Soliño

The outsourcing of public services has acquired a prominent position in the political agenda of many countries in recent decades. This paper contributes an analysis of the outsourcing of a public service under a theoretical framework based on a multitask principal-agent model. For the management of the service, a contract is assumed that includes certain incentives to the contractor linked to the outcomes in two types of activities: the first related to cost saving, and the second related to the improvement of the quality of the service. The main results of the paper show, in the first place, the conditions under which the outsourcing of a public service is economically unfeasible. Additionally, the paper shows that, under perfect information conditions, the optimal incentives include the contractor retaining all the cost savings. On the contrary, under conditions of asymmetric information on the quality of the service, the contract should stipulate a certain distribution of the cost savings between the public authority and the contractor. More in general, the formalization of the model presented in this work can contribute to a better understanding of the role of the contracts, and therefore to their improvement.


Foreign direct investment is an investment made by a firm or individual in one country into business interests located in another country. It is one of the most interesting topics in the area of international business and trade. Foreign companies invest directly in fast growing private Indian businesses to take benefits of India. The foreign investors mostly from the urbanized dynamic centers are enhancing international production by investing in resource abundant economies. This shows substantial differences in specifications with little agreement on the set of covariates that are included. The main objective of this FDi are To examine the policy framework of India in relation to foreign direct investment and to analyze the trends and patterns of foreign direct investment in India and to assess the present position of FDI in India This paper empirically attempted to investigate the determinants of foreign direct investment in India. This paper investigates the role of economic structures as determinants of foreign direct investment inflows. The exports has been emerged the most powerful determinant of FDI. This article is to understand the extent to which well functioning economic structures are important drivers of FDI inflows into advanced countries. The Various factors which play a significant role in attracting FDI into a particular state are also examined. It is an appealing concept through which companies progress and enter into new markets as a result of globalization. It has grown that the academic and policymaking worlds have struggled to keep up with the expanding incident. FDI is an engine of economic growth and development of Indian economy but in this respect proper directions are needed to improve the quality of the Indian economy as a whole.


1997 ◽  
Vol 12 (0) ◽  
pp. 57-79
Author(s):  
Pan Suk Kim

As industrial economies have prospered, their business firms have also grown and matured resulting in increased foreign direct investment (FDI) and thus foreign direct investment has become a major issue for analytical discussion in an international perspective. Foreign direct investment is a major source of international resource transfer. The tremendous competition generated among host countries, regions, and localities for FDI has created an abundance of literature, some favorable some not so favorable. Those favorable writings are generally in defense of free markets and include Becker (1989) and Reich (1990). Unfavorable discussions usually express concerns over domestic economic and national sovereignty, and security issues. Recent criticisms of FDI feature the works of: Tolchin and Tolchin (1988), Burstein (1988), Prestowitz (1988), Glickman and Woodward (1989), Spencer (1988) and Frantz and Collins (1989). Other discussions by Morgan Guaranty (1989), Reich (1991), Peterson (1989) and Fry (1980) provide excellent, balanced arguments. Discussions of FDI in literature have focused mainly on the national economy as a whole, while FDI considerations on a regional basis, or more specifically on an urban basis, have been somewhat ignored. And while there is an established research base concerning the factors which attract industries to an urban regions, research on the role of government in encouraging foreign direct investment- based economic development is absent of any serious analytical discussion. The main objective of this paper is to fill the gap created by this absence.


2020 ◽  
Vol 7 (1) ◽  
Author(s):  
Constantinos CHOROMIDES

Foreign Direct Investment (FDI) is considered by researchers as a critical factor for economic growth and development since they have shown a positive relationship between FDI and economic growth. The recent economic crisis in the European Union (EU) has brought up again the discussion of the key drivers specific to the attraction of FDI. In addition to strict economic factors the literature emphasizes the role of institutions in a country as determinants in attracting FDI inflows. An analysis of the role that the quality of institutions in attracting FDI has in Greece is attempted using an econometric model on institutional, regulatory, country specific and firm level data. For the purpose of giving a regional dimension in the analysis, and for attempting a comparison of the findings, the analysis focuses besides Greece, in two other Southeastern European countries (SEE), Bulgaria and Romania, being two new member states of the EU.


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