FOREIGN DIRECT INVESTMENT AND ECONOMIC GROWTH

Journal Title: Revista Tinerilor Economisti - Year 2007, Vol 1, Issue 9

Abstract

How does foreign direct investment triggered by foreign economic growth affect domestic economic activity? Estimates produced using foreign GDP growth rates for changes in foreign activity indicate that 10% greater foreign capital investment is associated with 2.2% greater domestic investment, and that 10% greater foreign employee compensation is associated with 4.0% greater domestic employee compensation. Changes in foreign and domestic sales, assets, and numbers of employees are likewise positively associated.

Authors and Affiliations

George Ciobanu

Keywords

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  • EP ID EP113233
  • DOI -
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How To Cite

George Ciobanu (2007). FOREIGN DIRECT INVESTMENT AND ECONOMIC GROWTH. Revista Tinerilor Economisti, 1(9), 94-97. https://europub.co.uk/articles/-A-113233