New Evidence on the Causal Linkages Between Foreign Direct Investment,Exports and Imports in Malaysia
: By extending Wong and Tang s (2007) study, this paper aims at further exploring the causal relations between Foreign Direct Investment (FDI ), exports and imports. There is a unique long-run causal relationship running from exports as well as imports to FDI. A bidirectional causal relationship exists between exports and imports. These findings provide useful policy implications for sustaining the FDI inflows on one hand and promoting links between Multinational Corporations (MNCs) and local firms on the other.
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Volume (Year): VIII (2009)
Issue (Month): 1 (January)
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References listed on IDEAS
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- Granger, C. W. J., 1988. "Some recent development in a concept of causality," Journal of Econometrics, Elsevier, vol. 39(1-2), pages 199-211.
- repec:ebl:ecbull:v:6:y:2007:i:14:p:1-8 is not listed on IDEAS
- Penelope Pacheco-López, 2004.
"Foreign Direct Investment, Exports and Imports in Mexico,"
Studies in Economics
0404, School of Economics, University of Kent.
- Penélope Pacheco-López, 2005. "Foreign Direct Investment, Exports and Imports in Mexico," The World Economy, Wiley Blackwell, vol. 28(8), pages 1157-1172, 08.
- Toda, Hiro Y. & Yamamoto, Taku, 1995. "Statistical inference in vector autoregressions with possibly integrated processes," Journal of Econometrics, Elsevier, vol. 66(1-2), pages 225-250.
- Tuck Cheong Tang & Koi Nyen Wong, 2007. "Foreign Direct Investment and Electronics Exports: Exploratory Empirical Evidence from Malaysia's Top Five Electronics Exports," Economics Bulletin, AccessEcon, vol. 6(14), pages 1-8.
- repec:ebl:ecbull:v:06:y:2007:i:14:p:1-8 is not listed on IDEAS
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