IDEAS home Printed from https://ideas.repec.org/a/ids/ijdipe/v2y2014i1-2p139-164.html
   My bibliography  Save this article

Foreign investment and economic growth interactions in Eurasia: 1960 to 2011

Author

Listed:
  • Rudra P. Pradhan
  • Mak B. Arvin
  • Neville R. Norman

Abstract

This paper examines dynamic interactions between foreign direct investment (FDI) and economic growth using panel-data cointegration and causality tests. We present our results for 34 Eurasian countries for which previous research on this subject has not hitherto been performed. We find that that FDI and economic growth have both short-term and long-term causal linkages to each another and often to other identified variables. Our findings support the notion that donor countries supplying FDI tend to use FDI as an instrument of financial diplomacy. When the recipient countries experience enhanced economic growth through the FDI they receive, goodwill and more cordial relationships are fostered.

Suggested Citation

  • Rudra P. Pradhan & Mak B. Arvin & Neville R. Norman, 2014. "Foreign investment and economic growth interactions in Eurasia: 1960 to 2011," International Journal of Diplomacy and Economy, Inderscience Enterprises Ltd, vol. 2(1/2), pages 139-164.
    • Handle: RePEc:ids:ijdipe:v:2:y:2014:i:1/2:p:139-164
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=60753
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijdipe:v:2:y:2014:i:1/2:p:139-164. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=394 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.