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Macroeconomic Impacts of FDI in Transition Economies: A Meta-Analysis

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Listed author(s):
  • Iwasaki, Ichiro
  • Tokunaga, Masahiro

Abstract

In this paper, we conduct a meta-analysis of the literature that empirically examines the impact of foreign direct investment (FDI) on economic growth in Central and Eastern Europe and the former Soviet Union. We found that existing studies indicate a growth-enhancing effect of FDI in the region as a whole. The results of our meta-regression analysis suggest that the effect size and statistical significance of the reported estimates strongly depend on study conditions. We also found that the relevant studies fail to present genuine evidence of a non-zero FDI effect. More research is necessary to identify the true effect.

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File URL: http://www.sciencedirect.com/science/article/pii/S0305750X14000886
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Article provided by Elsevier in its journal World Development.

Volume (Year): 61 (2014)
Issue (Month): C ()
Pages: 53-69

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Handle: RePEc:eee:wdevel:v:61:y:2014:i:c:p:53-69
DOI: 10.1016/j.worlddev.2014.03.022
Contact details of provider: Web page: http://www.elsevier.com/locate/worlddev

Keywords: economic transition; macroeconomic impacts of FDI; meta-analysis; publication selection bias; Central and Eastern Europe; former Soviet Union;

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