scholarly journals Using Gray-Markov Model and Time Series Model to Predict Foreign Direct Investment Trend for Supporting China’s Economic Development

Author(s):  
Yanyan Zheng ◽  
Tong Shu ◽  
Shou Chen ◽  
Kin Keung Lai
2018 ◽  
Vol 1 (2) ◽  
pp. 92-104
Author(s):  
Dyah Poespita Ernawati

This study aims to analyze several variables that affect the growth and decline of the Indonesian economy during the period 2009-2018. The variables that affect are limited to only three, namely FDI (Foreign Direct Investment) or foreign direct investment, exports, and foreign debt. Meanwhile, the variable that causes the decline is the failure to understand the development economic theory approach to fail to apply it in the field. The type of research used is explanatory research with a quantitative approach. The location of this research was conducted at the World Bank. This study's population is the entire time-series data from FDI, exports, foreign debt, and Indonesia's economic growth. The sampling technique collects time-series data for ten years (one decade), namely the years 2009-2018 so that there are 40 samples. The data analysis used is multiple linear regression analysis. The data analysis results in this study indicate that the variables consisting of FDI, exports, foreign debt simultaneously have a significant effect on Indonesia's economic growth. Partially FDI Indonesia's economic development is being impacted significantly. Indonesia's economic development is strongly driven by exports. The effect of external debt on Indonesia's economic growth is important.


Author(s):  
Addissie Melak

Economic growth of countries is one of the fundamental questions in economics. Most African countries are opening their economies for welcoming of foreign investors. As such Ethiopia, like many African countries took measures to attract and improve foreign direct investment. The purpose of this study is to examine the contribution of foreign direct investment (FDI) for economic growth of Ethiopia over the period of 1981-2013. The study shows an overview of Ethiopian economy and investment environment by the help of descriptive and econometric methods of analysis to establish empirical investigation for the contribution of FDI on Ethiopian economy. OLS method of time series analysis is employed to analyse the data. The stationary of the variables have been checked by using Augmented Dickey Fuller (ADF) Unit Root test and hence they are stationery at first difference. The co- integration test also shows that there is a long run relationship between the dependent and independent variables. Accordingly, the finding of the study shows that FDI, GDP per capita, exchange rate, total investment as percentage of GDP, inflow of FDI stock, trade as percentage of GDP, annual growth rate of GDP and liberalization of the economy have positive impact on Ethiopian GDP. Whereas Gross fixed domestic investment, inflows of FDI and Gross capital formation influence economic growth of Ethiopia negatively. This finding suggests that there should be better policy framework to attract and improve the volume of FDI through creating conducive environment for investment.


Author(s):  
Taras Malyshivskyi ◽  
Volodymyr Stefinin

The article examines the relationship between attracting foreign capital in the form of foreign direct investment and ensuring economic development. In particular, the analysis of the current structure of the economy is indicated, its raw material character is pointed out and, based on other researches, the necessity of its reform is substantiated, as Ukraine will remain a low-income country if the current trend continues. This is due to the fact that countries with a raw material structure of the economy are characterized by a low level of economic complexity, and therefore are not able to generate high levels of income in society. As a result, the expediency of stimulating the attraction of investment resources into the country’s economy, in particular in the form of foreign direct investment, is substantiated. The dynamics of attracting foreign direct investment to Ukraine and a number of other countries for the period from 1991 to 2019 is analyzed and the key negative factors that deter foreign investors from investing in the economy of Ukraine are indicated. As a result of the analysis, divergent trends in the economic development of Ukraine and other analyzed countries (Poland, Czech Republic, Slovakia, Turkey, Romania, Hungary) were identified, which contributed to economic stagnation and restrained economic growth and development. Taking into account the analysis, as well as based on the concept of investment and innovation growth, it is proposed to use the experience of Israel to improve the country’s investment attractiveness and stimulate foreign capital inflows by adapting the Yozma program to Ukrainian realities. According to our estimates, the adaptation of this program to the Ukrainian economy will attract about $ 350 million over a five-year period of venture capital alone. In addition, programs such as YOSMA can also be implemented at the regional or even local level. We believe that the use of this tool will improve the investment attractiveness of the country, as well as provide sufficient financial resources to modernize the domestic economy and ensure rapid economic growth.


2001 ◽  
Vol 33 (4) ◽  
pp. 663-665 ◽  
Author(s):  
Asim Erdilek

The surge in foreign direct investment (FDI)—investment with managerial control by the foreign investor, usually a multinational corporation—has been the major driver of globalization in the past two decades and the accelerator of economic development in many developing countries. It has, however, bypassed Turkey. By all relevant relative measures found in the United Nations' annual World Investment Report, Turkey has failed to attract much FDI.


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