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Impact of Foreign Direct Investment on Employment in Pacifi c Island Countries: An Empirical Study of Fiji


  • Jayaraman, Tiru K.

    () (Faculty of Business And Economics University of the South Pacific)

  • Singh, Baljeet

    () (Faculty of Business And Economics University of the South Pacific)


Among the 14 Pacifi c island countries, (PICs) Fiji, with its relatively better endowments in land and human resources as well as physical infrastructure, has been one of the ten favourite destinations of foreign direct investment (FDI) in Asia-Pacifi c. The gains from FDI include not only creation of employment in those sectors, which attracted overseas investors, but also of additional employment opportunities in ancillary sectors, which are supportive to all production oriented activities in the economy. This paper undertakes an econometric study of the impact of FDI in Fiji during a 30-year period. The study results confi rm that FDI contributed to employment creation and economic growth.

Suggested Citation

  • Jayaraman, Tiru K. & Singh, Baljeet, 2007. "Impact of Foreign Direct Investment on Employment in Pacifi c Island Countries: An Empirical Study of Fiji," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 60(1), pages 57-74.
  • Handle: RePEc:ris:ecoint:0065

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    Cited by:

    1. Takumah, Wisdom, 2014. "Tax Revenue and Economic Growth in Ghana: A Cointegration Approach," MPRA Paper 58532, University Library of Munich, Germany.
    2. Mina, Wasseem & Jaeck, Louis, 2015. "Labor Market Flexibility and FDI Flows: Evidence from Oil-Rich GCC and Middle Income Countries," MPRA Paper 62652, University Library of Munich, Germany.

    More about this item


    foreign direct investment; Pacifi c island countries; Fiji; employment; cointegration; bounds testing procedure.;

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies


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