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Knowledge economy, governance and FDI: Case of Tunisia

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  • Bouras Hela

    (University of Economics and management of Tunisia)

Abstract

This paper seeks to detect and analyze the interaction of FDI attractiveness factors and the role of ICT, specifically telecommunications, as a factor in the increase of FDI flows. In this paper we are interested in the contribution of the theory of the knowledge economy and the theory of New Institutional Economics. It focuses on the detection of factors affecting attractiveness of FDI and the mechanisms through which ICT will attract more foreign investors. The method used is a method to estimate ordinary least square (OLS), for the period 1990-2010. Our regression model is established on Tunisia. Our investigation found that the component of institutional quality that attracts FDI is the control of corruption in Tunisia. We observe that institutional quality affects FDI positively, through human capital for the case of Tunisia.

Suggested Citation

  • Bouras Hela, 2014. "Knowledge economy, governance and FDI: Case of Tunisia," E3 Journal of Business Management and Economics., E3 Journals, vol. 5(2), pages 052-062.
    • Handle: RePEc:etr:series:v:5:y:2014:i:02:p:052-062
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    References listed on IDEAS

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