IDEAS home Printed from https://ideas.repec.org/a/ukm/jlekon/v49y2015i1p49-60.html
   My bibliography  Save this article

Pelaburan Langsung Asing, Pertumbuhan Ekonomi dan Kualiti Pembangunan Pasaran Saham - Analisis Panel

Author

Listed:
  • Haji Mohd Nor, Nor Hakimah

    (Fakulti Pengurusan dan Muamalah Kolej Universiti Islam Antarabangsa Selangor)

  • Low, Soo Wah

    (Graduate School of Business Universiti Kebangsaan Malaysia)

  • Mohd Nor, Abu Hassan Shaari

    (Fakulti Ekonomi dan Pengurusan Universiti Kebangsaan Malaysia)

Abstract

This study examines the role of stock market development quality in enabling foreign direct investment to promote economic growth for a sample of thirty developed and emerging countries over the period from 1999 to 2009, using dynamic panel GMM estimator. The quality of stock market development is examined using two indicators of market liquidity and pricing efficiency, measured using volume turnover scaled by return volatility and stock price synchronicity respectively. The findings indicate that higher stock market development quality as reflected by higher levels of market liquidity and pricing efficiency are more able to benefit from the growth effects of FDI. In the greater context, this study establishes a new form of absorptive capacity by showing that the quality dimension of stock market development constitutes an important element in influencing the impact of FDI on economic growth. Insights from this study suggest that it is important to address the quality aspect of stock market development in enabling FDI to serve as an important driver of economic growth. The findings expand the existing literature and provide a clearer understanding of the FDI financial development-growth nexus.

Suggested Citation

  • Haji Mohd Nor, Nor Hakimah & Low, Soo Wah & Mohd Nor, Abu Hassan Shaari, 2015. "Pelaburan Langsung Asing, Pertumbuhan Ekonomi dan Kualiti Pembangunan Pasaran Saham - Analisis Panel," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 49(1), pages 49-60.
    • Handle: RePEc:ukm:jlekon:v:49:y:2015:i:1:p:49-60
    DOI: http://dx.doi.org/10.17576/JEM-2015-4901-05
    as

    Download full text from publisher

    File URL: http://www.ukm.my/jem/wp-content/uploads/2021/06/jeko_491-5.pdf
    Download Restriction: no
    File URL: https://libkey.io/http://dx.doi.org/10.17576/JEM-2015-4901-05?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    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:ukm:jlekon:v:49:y:2015:i:1:p:49-60. 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: Muhammad Asri Abd Ghani (email available below). General contact details of provider: https://edirc.repec.org/data/feukmmy.html .

    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.