Effect of judıcıal independence to FDI into Eastern Europea and South Asia
In this paper, we investigate the impact of judicial independence on foreign direct investment (FDI) into Southern Europe and South Asia. The panel least square method is employed to estimate the relationship between FDI and its potential macroeconomic and instutional determinants using a sample of 28 developing countries for the period of 1990-2010. The findings show that a 10% percentage increase in judicial independence of the host country in the previous one year increases the FDI inflows to Eastern Europe and South Asia about 2,7% and 1,3% respectively. The findings also show that the size of economic activity (GDP and GDP per capita), deposit interest rate, trade opennes, and lagged FDI are main determinants of FDI inflows to host country.
|Date of creation:||15 Sep 2012|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: http://mpra.ub.uni-muenchen.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Borensztein, E. & De Gregorio, J. & Lee, J-W., 1998.
"How does foreign direct investment affect economic growth?1,"
Journal of International Economics,
Elsevier, vol. 45(1), pages 115-135, June.
- Eduardo Borensztein & Jose De Gregorio & Jong-Wha Lee, 1995. "How Does Foreign Direct Investment Affect Economic Growth?," NBER Working Papers 5057, National Bureau of Economic Research, Inc.
- Peter J Buckley & L Jeremy Clegg & Adam R Cross & Xin Liu & Hinrich Voss & Ping Zheng, 2007. "The determinants of Chinese outward foreign direct investment," Journal of International Business Studies, Palgrave Macmillan, vol. 38(4), pages 499-518, July.
- Bevan, Alan & Estrin, Saul & Meyer, Klaus, 2004. "Foreign investment location and institutional development in transition economies," International Business Review, Elsevier, vol. 13(1), pages 43-64, February.
- Kayam, Saime Suna, 2009. "Home market determinants of FDI outflows from developing and transition economies," MPRA Paper 16781, University Library of Munich, Germany.
- Hisarciklilar, Mehtap & Kayam, Saime Suna & Kayalica, Ozgur, 2006. "Locational Drivers of FDI in MENA Countries: A Spatial Attempt," MPRA Paper 2085, University Library of Munich, Germany.
- Elizabeth Asiedu, 2006. "Foreign Direct Investment in Africa: The Role of Natural Resources, Market Size, Government Policy, Institutions and Political Instability," The World Economy, Wiley Blackwell, vol. 29(1), pages 63-77, 01.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:40471. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht)
If references are entirely missing, you can add them using this form.