scholarly journals The Impact of Foreign Direct Investment (FDI) on Economic Growth (EG): Evidence from Djibouti

2021 ◽  
Vol 9 (2) ◽  
pp. 64
Author(s):  
Nashwa Maguid Hayel ◽  
Bouchra Es. Saiydy
Keyword(s):  
Economic Growth ◽  
International Development ◽  
Time Series Data ◽  
Developed Countries ◽  
Modern Technology ◽  
Least Square ◽  
Series Data ◽  
Least Developed Countries ◽  
Study Results ◽  
The Impact

The achievement of EG and development is considered the core objective for both Developing Countires (DCs) and Least Developed Countries (LDCs), so countries try to get adequate funding to achieve this goal through optimal macroeconomic policies and different strategies. Countries prefer other mechanisms with less burden and cost to achieve economic growth, such as FDI flows. International development-oriented institutions such as WB and IMF recommend and consider FDI flows as the most important factors of the modern technology transfer, management, and know-how, which is necessarily needed in the local investment projects in poor countries, Therefore FDI represents optimal external sources of growth.The objective of this study is to explain the impact of FDI on the EG of Djibouti. To achieve this objective the study used a secondary annual time series data for the period 1985-2019 by the method of Ordinary Least Square (OLS).The study results showed that FDI in the case of Djibouti tends to be statistically insignificant effects on Djibouti‘s EG; on the other hand other factors such as the Human Development Index (HDI) and Gross Fixed Capital Formation (GFCF), Trade Openness (TOP) shows significant effects on the Gross Domestic Product (GDP). Finally, the Consumer Price Index (CPI) has no significance in the EG of Djibouti.The findings provide critical information to Djibouti policy decision-makers to make an informed decision with regard to attracting investment and policies in encouraging foreign investors to invest in the country.

The Impact of Foreign Direct Investment (FDI) on Economic Growth (EG) : Evidence from Djibouti

2021 ◽  
Vol 9 (10) ◽  
pp. 701-706
Author(s):  
Nashwa Maguid Hayel
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
International Development ◽  
Direct Investment ◽  
Time Series Data ◽  
Developed Countries ◽  
Least Square ◽  
Series Data ◽  
Study Results ◽  
The Impact

Abstract: The achievement of EG and development is considered the core objective for both Developing Countires (DCs) and Least Developed Countries (LDCs), so countries try to get adequate funding to achieve this goal through optimal macroeconomic policies and different strategies. Countries prefer other mechanisms with less burden and cost to achieve economic growth, such as FDI flows. International development-oriented institutions such as WB and IMF recommend and consider FDI flows are the most important factors of the modern technology transfer, management, and know-how, which is necessarily needed in the local investment projects in poor countries, so FDI represents optimal external sources of growth. The objective of this study is to explain the impact of FDI on the EG of Djibouti. To achieve this objective the study used a secondary annual time series data for the period 1985-2019 by the method of Ordinary Least Square (OLS). The study results showed that FDI in the case of Djibouti tends to be statistically insignificant effects and a limited impact on Djibouti‘s EG, Moreover,other factors such as the Human Development Index(HDI), and Gross Fixed Capital Formation(GFCF), Trade Openness(TOP) shows significant effects on the Gross Domestic Product (GDP). Finally, the Consumer Price Index (CPI) has no significance in the EG of Djibouti. The findings provide critical information to Djibouti policy decision-makers to make an informed decision with regard to attracting investment sectors and policies in encouraging foreign investors to invest in the country. KEYWORDS: Foreign Direct Investment, Economic Growth, Djibouti, Empirical Analysis.

The Impact of Workers’ Remittances on Private Investment and Total Consumption in Pakistan

2011 ◽  
Vol 1 (1) ◽  
pp. 152 ◽  
Author(s):  
Kausar Yasmeen ◽  
Ambreen Anjum ◽  
Kashifa Yasmeen ◽  
Sidra Twakal
Keyword(s):  
Economic Growth ◽  
Low Income ◽  
Time Series Data ◽  
Private Investment ◽  
Developed Countries ◽  
Least Square ◽  
Low Income Countries ◽  
Series Data ◽  
Total Consumption ◽  
The Impact

To check the two Objectives of the study one exploring the impact of work remittance on economic growth and second is Impact of work remittance on private investment and total consumption, 25 years’ time series data collected from the Economic survey of Pakistan for the time 1984-2009. The methodology used for the analysis, is Regression model so for regression we have used OLS (ordinary least square model).the work remittance has positively related with the Private investment and total consumption which results increase in GDP and economic growth of Pakistan. This research favor the study of Burki (1991),Ahmad(1986), Charless (1989) Adam(1998) and Darry (2005) this research may be helpful for other low income countries, they can analysis the Workers’ remittances impact on Private investment and Total consumption  of their countries to encourage the workers remittance. Developing countries may request to developed countries to soft police for work remittance in favor of their countries. This might boost their TC and PI which boost up the economy.

scholarly journals Comparison of the impact of lending and inflation rates on economic growth in Vietnam and China

2020 ◽  
Vol 15 (4) ◽  
pp. 193-203
Author(s):  
Doan Van Dinh
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Time Series Data ◽  
Close Correlation ◽  
Least Square ◽  
Series Data ◽  
Lending Rate ◽  
Lending Rates ◽  
The Impact

Inflation and lending rates are two important macroeconomic indicators as they affect economic growth. The correlation between the inflation rate and the lending rate in Vietnam and China is analyzed to determine whether the lending rate causes inflation or not. An ordinary least square model (OLS) and a unit root test are applied to check the correlation and cointegration related to the inflation and lending rates to avoid spurious regression. The research time series data were collected from 1996 to 2017. The correlation of Vietnam’s variables is 56%, the correlation of China’s variables is 55%, which is a close correlation. The empirical cointegration test results for Vietnam and China are suitable for two research models. The relationship between these two indicators influences each other. In the short term, inflation stimulates economic growth through loose monetary policy through the lending rate. However, in the long term, if the money supply increases continuously, inflation will slow economic growth and increase bad debt. The empirical results are to make accurate forecasts and determine monetary policy for micro-managers who set the goal of sustainable economic growth and have a strategy for economic development in the short and long term.

scholarly journals The Impact of International Capital Flows on Jordan’s Economic Growth

2019 ◽  
pp. 214-220
Author(s):  
Basem M. Lozi ◽  
Mamoun Shakatreh
Keyword(s):  
Economic Growth ◽  
Capital Flows ◽  
Time Series Data ◽  
Developed Countries ◽  
International Capital Flows ◽  
Capital Inflows ◽  
Series Data ◽  
International Capital ◽  
The Government ◽  
The Impact

The aim of this study is to examine the impact of international capital flows on the economic growth in Jordan during the period from 2005 to 2017, The study also examines trends and composition of capital inflows. The study used descriptive analytical research method which was appropriate for the purpose of research. By using time series data, the study found that Foreign Direct Investment (FDI), foreign portfolio investment (FPI), grants (Gr) and Worker remittances (WR) are positively affecting the economic growth direct contribution. Based on the research results, the study came with a several recommendations, the most important recommendation is; the government of Jordan should create and relax the rules and regulations to attract more investors, and also the government should work hand in hand with the developed countries to create economic and employment opportunities, improve the country’s competitiveness, and expand growth within the private sector so that everyone in Jordan has the opportunity to contribute to a brighter future.

scholarly journals Potential Tax Reforms and Kuwait Economic Growth

2019 ◽  
pp. 42-48
Author(s):  
K. Lawler ◽  
F. Ali Al-Sayegh
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Value Added ◽  
Least Square ◽  
Series Data ◽  
Tax Reforms ◽  
Tax Revenues ◽  
Oil Revenue ◽  
The Impact

The objective of this study is to identify whether tax reforms are viable in Kuwait in order to create more government income from sources other than oil. The study examines the relationship between the changes in tax revenues, changes in oil revenue and changes in GDP in Kuwait using time series data from 1998 to 2015. The Augmented Dickey-Fuller (ADF) is used to check for the existence of a unit root. The cointegration test is applied to test for long term relationships between variables using the General Least Square (GLS) method of estimation. The results of the tests find that the impact of changes in tax revenues on changes in the GDP of Kuwait is insignificant. Therefore, Kuwait’s government could rationally implement tax reforms to have incremental sources of income other than oil revenue. Moreover, it is argued that the government might consider implementing broad based consumption taxes and value added taxes into the tax structure Kuwait, and to invest the revenues from those taxes in productive policies, to induce long term economic growth.

scholarly journals Foreign influence on Pakistan's exports and imports Evidence from Pakistan

2016 ◽  
Vol 2 (2) ◽  
pp. 117-128
Author(s):  
Irfan Hussain Khan ◽  
Shumaila Hashim ◽  
Muhammad Rizwan Yaseen
Keyword(s):  
Trading Volume ◽  
Time Series Data ◽  
Low Cost ◽  
Basic Research ◽  
Developed Countries ◽  
Theoretical Background ◽  
Series Data ◽  
Annual Data ◽  
Study Results ◽  
The Impact

The purpose of this study is to investigate the impact of the Pakistani currency phase action on exports and imports. Two time series data base year and quarterly basic research use. Starting from the 1970 annual data for about 40 years, beginning with the beginning of 2000 to 2012 quarterly data. Johnson estimates quarterly observations using common integration techniques. In the current study results show that Pakistan first began trading volume for the US and developed countries, the UK and Europe. As a combination of export and import time Pakistan has improved. Production and manufacture of semi-finished goods and primary product alternatives, while the import of consumer goods, capital goods and petroleum products expanded. Due to low-cost elasticity of the export and import activity of the exchange of theoretical background reaction support. On the other hand, if the value of the rupees fell against the dollar, the import costs rose more than the export bills. In support of this study, Pakistan should focus on a small number of countries to reduce trade and expand trade. Similarly, on the basis of the goods may add some other goods.

scholarly journals THE IMPACT OF COVID-19 PANDEMIC ON THE TOURISM SECTOR IN INDONESIA

Riset ◽  
2021 ◽  
Vol 3 (1) ◽  
pp. 389-401
Author(s):  
Jan Horas Veryady Purba ◽  
Ritha Fathiah ◽  
Steven Steven
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Secondary Data ◽  
Equation Model ◽  
Least Square ◽  
Series Data ◽  
Tourism Sector ◽  
Before And After ◽  
Negative Effect ◽  
The Impact

The tourism is one of the strategic sectors and has an important role as a source of foreign exchange and encourages national economic growth. Since March 2020, the Covid-19 pandemic has begun to enter Indonesia, and the cumulative infection curve has not sloped, and is still increasing exponentially until now. This phenomenon has resulted in a contraction in the Indonesian economy or created negative economic growth, as well as creating very bad conditions for the tourism sector in Indonesia. This study aims to examine the influence of the Covid-19 pandemic on tourism and its implications for economic growth in Indonesia. The data used are quarterly time series data before and after the Covid-19 Pandemic (2018-2020). This study uses a regression equation model that is estimated by using ordinary least square (OLS). Secondary data used are data air transport and hotel accommodation, as a proxy for tourism variables. The results show that the Covid-19 Pandemic has a negative effect on Indonesian tourism, and has negative implications for Indonesia's GDP. From the simulation results, the findings of this study also calculate the amount of potential lost in the Turism and Indonesian economy during the Covid-19 Pandemic.

scholarly journals Health Status, Labour Productivity and Economic Growth in Nigeria

2019 ◽  
pp. 1-12
Author(s):  
Kelani, Fatai Adeshina ◽  
Odunayo, Henry Adewale ◽  
Ozegbe, Azuka Elvis ◽  
Nwani, Stanley Emile
Keyword(s):  
Economic Growth ◽  
Health Status ◽  
Time Series Data ◽  
Labour Productivity ◽  
Unit Root Test ◽  
Developed Countries ◽  
Policy Framework ◽  
Series Data ◽  
The Impact ◽  
Bound Test

The quest for rapid economic growth and development has pre-occupied the minds of researchers and policy makers most especially in less developed countries. This has resulted to empirical inquiry into the causes of growth in a sustainable term. This study therefore examines the impact of health status and labour productivity on economic growth in Nigeria. By utilizing annual time series data from 1981 to 2017, the study carried out ADF unit root test to ascertain the stationarity of the series. The result confirms that the series were stationary at levels and t first difference, hence, the adoption of ARDL bound test to Co-integration. The empirical estimates of the parameters of the model show that both health status and labour productivity have positive impacts on economic growth in Nigeria. This follows economic theory as expected. A further analysis of the significance of the estimates reveals that health status plays a significant role in Nigerian growth process. However, labour productivity fails to significantly impact on growth episodes in Nigeria. Other variable which stimulates economic growth in the country is gross fixed capital formation. The study therefore recommends a policy framework towards improvement in the quality of labour through adequate funding of education and re-tooling the educational system to enhance labour productivity for a more robust growth of the economy.

scholarly journals IMPACT OF GOVERNMENT SECURITY EXPENDITURE ON ECONOMIC GROWTH IN NIGERIA

2020 ◽  
Vol 7 (1) ◽  
pp. 211-225
Author(s):  
Amana Abu ◽  
◽  
Aigbedion Marvelous
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Capital Expenditure ◽  
Least Square ◽  
Series Data ◽  
Strong Impact ◽  
Causality Test ◽  
Defence Spending ◽  
The Impact ◽  
Government Security

This study is an attempt to assess the impact of government security expenditure on economic growth in Nigeria from 1986-2018. The study was carried out using time series data, and econometrics tools were used for testing and estimation. Augmented Dickey-Fuller (ADF) was used to test the stationarity, the Ordinary Least Square (OLS) and Error Correction Model (ECM) techniques were used to estimate the impact of government security expenditure on economic growth in Nigeria and the causality test was also carried out to show the casual relationship among the economic variables using Granger test. From the study’s findings, the data were stationary at various levels and the impact estimated result shows that government security expenditure has strong impact on economic growth in Nigeria given the R2 Square of 0.97. While long run result revealed that Government Recurrent Defence Spending in Nigeria (GRDEXP), Government Recurrent Internal Security Spending in Nigeria (GRISEXP) and Government Security Capital Expenditure in Nigeria (GSCAEXP) were statistically significant at 5% level of significance. Also, ECM result revealed that all the independent variables were statistically insignificant in explaining the variation in Real Gross Domestic Products (RGDP) in Nigeria except Government Recurrent Defence Spending in Nigeria (GRDEXP).Therefore, the study recommends that government should design a mechanism to ensure all monies spent in Security in Nigeria are accounted for economic growth in Nigeria.

scholarly journals The Economic Role of Petrochemical Industry in Iran

2015 ◽  
Vol 9 (11) ◽  
pp. 101 ◽  
Author(s):  
Mansoor Maitah ◽  
Bassam Abdoljabbar
Keyword(s):  
Economic Growth ◽  
Petrochemical Industry ◽  
Time Series Data ◽  
Negative Impact ◽  
Least Square ◽  
Series Data ◽  
Export Revenue ◽  
The Impact ◽  
Growth Hypothesis ◽  
Petrochemical Products

<p>Iran’s economy is characterized by over dependence on the oil sector. Iran has been gradually growing into a centre for production of petrochemicals in the world. Petrochemical industry is one of the significant components of oil industry and is one of the principal industries in Iran which has an influential role in Iran’s economy. Although it is widely acknowledged that exports, particularly through manufactured components, play an important role as a potential source of economic growth. Hence, the aim of this research is to analysis the impact of petrochemical products export revenue on economic growth. Therefore the main objective of this research is the study of export-led growth hypothesis (ELG hypothesis) of Iran’s economy in the petrochemical industry by taking a time series data for the period of 1990-2010. It applies ordinary least square (OLS) method to investigate the relationship between gross domestic product, exports of petrochemical products, real exchange rate and inflation. The results of the study show that there is a positive relationship between export of petrochemical products and economic growth which validate export-led growth hypothesis in petrochemical industry while negative impact of inflation and real exchnage rate is observed.</p>

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