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Regression Model Used in Analyzing the Effect of Foreign Direct Investment on Economic Growth

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  • Zoica Dinca (Nicola)

Abstract

FDI definitely influence economic growth. While analyzing the link between FDI and economic growth, we bear in mind that investments influence economic growth. Empirical studies reveal that FDI effect upon economic growth is positive. Studies show that there is a link between the two variables, although, due to the influence of other factorial variables, economic growth can be significant at times. In this paper, I have analyzed the link between the variable Foreign Direct Investment, considered to be factorial, and economic growth, the resultative variable. The quantitative study has been done with econometric models that can be used also to predict economic trends. That is why I have used the simple and multiple linear regression models.

Suggested Citation

  • Zoica Dinca (Nicola), 2016. "Regression Model Used in Analyzing the Effect of Foreign Direct Investment on Economic Growth," International Journal of Academic Research in Accounting, Finance and Management Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Accounting, Finance and Management Sciences, vol. 6(2), pages 14-20, April.
    • Handle: RePEc:hur:ijaraf:v:6:y:2016:i:2:p:14-20
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    References listed on IDEAS

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    1. Gheorghe Zaman, 2006. "Aspecte ale eficientei macroeconomice a investitiilor straine directe in Romania," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania - AGER, vol. 4(4(499)(su), pages 65-88, June.
    2. Albu, Lucian Liviu, 2007. "Modelarea si evaluarea impactului investitiilor directe, nationale si internationale asupra pietii muncii si evolutiei macroeconomice din Romania - Modele macroeconomice - studiu de sinteza," Working Papers of Macroeconomic Modelling Seminar 071501, Institute for Economic Forecasting.
    3. Zoica DINCA (NICOLA) & Andreea Gabriela BALTAC, 2014. "The Evolution of Direct Foreign Investments in Romania, in the Context of Globalization," Romanian Statistical Review Supplement, Romanian Statistical Review, vol. 62(4), pages 201-206, April.
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