Foreign Direct Investment and Growth in EP and IS Countries
AbstractThis paper examines, within a new growth theory framework, the role that foreign direct investment plays in the growth process in the context of developing countries characterized by differing trade policy regimes. The paper tests, using cross-section data relating to a sample of forty-six developing countries, the hypothesis advanced by Jagdish Bhagwati, according to which the beneficial effect of foreign direct investment, in terms of enhanced economic growth, is stronger in those countries that pursue all outwardly oriented trade policy than it is in those countries adopting an inwardly oriented policy. Copyright 1996 by Royal Economic Society.
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Bibliographic InfoPaper provided by Department of Economics, University of Lancaster in its series Working Papers with number ec18/94.
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Postal: Department of Economics The Management School Lancaster University Lancaster LA1 4YX UK
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Web page: http://www.lums.lancs.ac.uk/econ/wkpap.htm
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- Balasubramanyam, V N & Salisu, M & Sapsford, David, 1996. "Foreign Direct Investment and Growth in EP and IS Countries," Economic Journal, Royal Economic Society, vol. 106(434), pages 92-105, January.
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