A panel co-integration and causality analysis the relationship between FDI, openness trade and economic growth several Middle Eastern and North African countries-as a sample
Author
Source
Ibn Khaldun Journal of Innovation and Development
Issue
Vol. 3, Issue 1 (30 Apr. 2021), pp.76-91, 16 p.
Publisher
University Ibn Khaldoun Tiaret Ksar-Chellala Annex
Publication Date
2021-04-30
Country of Publication
Algeria
No. of Pages
16
Main Subjects
Topics
Abstract EN
This paper aims at analyzing the effect of Foreign Direct Investment (FDI) and trade openness on the economic growth of 11 developing countries (Algeria, Bahrain, Egypt, Iran, Jordan, Kuwait, Lebanon, Morocco, Oman, Saudi Arabia and Tunisia) based on annual panel data series from 1994 to 2017.
This analysis was performed using fully modified OLS approaches (FMOLS) when the series of panels are co-integrated.
Therefore, the relationship between Foreign Direct Investment (FDI) and trade openness to economic growth is too eminent in taking a great role within literature related to economics.
The results clearly suggest that free trade and Foreign Direct Investment are a long-term source of gross domestic product growth in the countries of the Middle East and North Africa.
Free trade is associated with a positive relationship with gross domestic product growth in (FMOLS) estimation, and a unidirectional causality in the sense of trade openness towards gross domestic product growth.
Foreign Direct Investment is also associated with a positive relationship with the growth of gross domestic product in (FMOLS) estimation, which is a mutual causation, from Foreign Direct Investment towards the growth of gross domestic product and vice versa.
American Psychological Association (APA)
Lakhdar, Abd al-Malik. 2021. A panel co-integration and causality analysis the relationship between FDI, openness trade and economic growth several Middle Eastern and North African countries-as a sample. Ibn Khaldun Journal of Innovation and Development،Vol. 3, no. 1, pp.76-91.
https://search.emarefa.net/detail/BIM-1372666
Modern Language Association (MLA)
Lakhdar, Abd al-Malik. A panel co-integration and causality analysis the relationship between FDI, openness trade and economic growth several Middle Eastern and North African countries-as a sample. Ibn Khaldun Journal of Innovation and Development Vol. 3, no. 1 (2021), pp.76-91.
https://search.emarefa.net/detail/BIM-1372666
American Medical Association (AMA)
Lakhdar, Abd al-Malik. A panel co-integration and causality analysis the relationship between FDI, openness trade and economic growth several Middle Eastern and North African countries-as a sample. Ibn Khaldun Journal of Innovation and Development. 2021. Vol. 3, no. 1, pp.76-91.
https://search.emarefa.net/detail/BIM-1372666
Data Type
Journal Articles
Language
English
Notes
-
Record ID
BIM-1372666