Abstract
This paper analyzes the dynamic relationship between FDI inflows and domestic investment for a panel of selected countries by means of panel cointegration and causality techniques. Specifically, the paper provides empirical evidence regarding the existence of possible crowding in or crowding out effects between FDI inflows and domestic investment, accounting for the location and the level of development of the host countries.
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The paper was presented at the International Atlantic Economic Conference in London, March 9–13, 2005. The authors wish to thank the participants of the Macroeconomic Topics session for their valuable comments on an earlier draft. We would also like to express our gratitude to G. Chortareas and G. Konteos for helpful comments and suggestions. Nevertheless, the usual disclaimer applies.
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Apergis, N., Katrakilidis, C.P. & Tabakis, N.M. Dynamic Linkages between FDI Inflows and Domestic Investment: A Panel Cointegration Approach. Atl Econ J 34, 385–394 (2006). https://doi.org/10.1007/s11293-006-9026-x
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DOI: https://doi.org/10.1007/s11293-006-9026-x