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Foreign direct investment as an engine of growth

Author

Listed:
  • V. N. Balasubramanyam
  • M. Salisu
  • David Sapsford

Abstract

This paper presents, within a new growth theory framework, an analysis of the role of Foreign Direct Investment (FDI) in promoting economic growth. Evidence reported suggests that an important role is exerted by both the size of the domestic market and the competitive climate in relation to local producers. In addition, evidence is reported to indicate that interactions between FDI and human capital exert an especially important influence upon growth performance.

Suggested Citation

  • V. N. Balasubramanyam & M. Salisu & David Sapsford, 1999. "Foreign direct investment as an engine of growth," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 8(1), pages 27-40.
  • Handle: RePEc:taf:jitecd:v:8:y:1999:i:1:p:27-40
    DOI: 10.1080/09638199900000003
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    References listed on IDEAS

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