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The Environmental Effects of FDI: Evidence from MENA Countries

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  • Imad Moosa

    (School of Economics, Finance and Marketing, RMIT)

Abstract

Empirical work on the environmental effects of FDI has produced a mixed bag of results, with hardly any evidence for MENA countries. A theoretical model is presented, postulating that whether FDI has a positive or negative effect on the environment depends on the position of the underlying country or region on the environmental Kuznets curve. This paper presents results indicating that FDI leads to environmental degradation in MENA countries and that they fall on the rising sector of the EKC. The theoretical model is supported by the empirical results.

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  • Imad Moosa, 2019. "The Environmental Effects of FDI: Evidence from MENA Countries," Working Papers 1321, Economic Research Forum, revised 21 Aug 2019.
    • Handle: RePEc:erg:wpaper:1321
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    1. Ahmad Alim Bachri & Ellyn Normelani, 2020. "FDI, Income, and Environmental Pollution in Indonesia," International Journal of Energy Economics and Policy, Econjournals, vol. 10(6), pages 383-389.

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