Determinants of Foreign Direct Investment in Romania: a Quantitative Approach

Artikel

This study aims to examine the dynamic relationship between foreign direct investments (FDI) and economic growth, using the Structural Vector Autoregressive model, in the period 2007-2014. The results of the econometric model show that the trajectory of FDI has its own origins, with reduced influences from economic growth. Another important conclusion is that there is a unidirectional causal relationship from the economic growth towards FDI, more precisely the influence of FDI on economic growth does not have a systematic, anticipatory nature. These results were achieved in the condition that, in the analyzed period, the net inflows of FDI were influenced by the lack of certainty on the sustainable re-launching of the economic growth both domestically and internationally, the segmentation of the financial market, the domestic structural reforms.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Journal: Amfiteatru Economic Journal ; ISSN: 2247-9104 ; Volume: 19 ; Year: 2017 ; Issue: 44 ; Pages: 275-287 ; Bucharest: The Bucharest University of Economic Studies

Classification and Topics

• Classification: Wirtschaft ; Methodological Issues: General ; Interest Rates: Determination, Term Structure, and Effects ; International Investment; Long-term Capital Movements
• Subject: foreign direct investment ; economic growth ; vector autoregressive model ; Sims-Bernanke decomposition ; Granger causality test

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Enache, Calcedonia ; Merino, Fernando
• Event: Veröffentlichung
• (who): The Bucharest University of Economic Studies
• (where): Bucharest
• (when): 2017

Further information

• Handle: http://hdl.handle.net/10419/169069
• Last update: 10.03.2025, 11:42 AM CET