prikaz prve stranice dokumenta The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies
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The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies
Economies, 5 (2017), 3; 1-18. https://doi.org/10.3390/economies5030022
Kurečić, Petar; Kokotović, Filip

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Kurečić, P. & Kokotović, F. (2017). The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies. Economies, 5. (3), 1-18. doi: 10.3390/economies5030022

Kurečić, Petar and Filip Kokotović. "The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies." Economies, vol. 5, no. 3, 2017, pp. 1-18. https://doi.org/10.3390/economies5030022

Kurečić, Petar and Filip Kokotović. "The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies." Economies 5, no. 3 (2017): 1-18. https://doi.org/10.3390/economies5030022

Kurečić, P. and Kokotović, F. (2017) 'The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies', Economies, 5(3), pp. 1-18. doi: 10.3390/economies5030022

Kurečić P, Kokotović F. The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies. Economies [Internet]. 2017 June 22 [cited 2024 April 12];5(3):1-18. doi: 10.3390/economies5030022

P. Kurečić and F. Kokotović, "The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies", Economies, vol. 5, no. 3, pp. 1-18, June 2017. [Online]. Available at: https://urn.nsk.hr/urn:nbn:hr:122:719892. [Accessed: 12 April 2024]

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Metadata
Title (english)The Relevance of Political Stability on FDI: A VAR Analysis and ARDL Models for Selected Small, Developed, and Instability Threatened Economies
AuthorPetar Kurečić
MBZ: 311900
AuthorFilip Kokotović
Author's institutionUniversity North
Scientific / art field,
discipline and subdiscipline		SOCIAL SCIENCES
Political Science
Abstract (english)
This paper studies the relevance of political stability on foreign direct investment (FDI) and the relevance of FDI on economic growth, in three panels. The first panel contains 11 very small economies ; the second contains five well- developed and politically stable economies with highly positive FDI net inflows, while the third is a panel with economies that are prone to political violence or targeted by the terrorist attacks. We employ a Granger causality test and implement a vector autoregressive (VAR) framework within the panel setting. In order to test the sensitivity of the results and avoid robust errors, we employ an ARDL model for each of the countries within every panel. Based upon our results, we conclude that there is a long- term relationship between political stability and FDI for the panel of small economies, while we find no empiric evidence of such a relationship for both panels of larger and more developed economies. Similarly to the original hypothesis of Lucas (1990), we find that FDI outflows tend to go towards politically less stable countries. On the other hand, the empiric methodology employed did not find such conclusive evidence in the panels of politically more developed countries or in the small economies that this paper observes.
Keywords (english)
Languageenglish
Publication typeScientific paper - Other
Publication statusPublished
Peer reviewUnknown
Publication versionPublished version
Journal titleEconomies
Numberingvol. 5, no. 3, pp. 1-18
e-ISSN2227-7099
DOIhttps://doi.org/10.3390/economies5030022
URN:NBNurn:nbn:hr:122:719892
Publication2017-06-22
Document URLhttp://bib.irb.hr/881864
Document URLhttp://www.mdpi.com/2227-7099/5/3/22
Type of resourceText
Access conditionsOpen access
Terms of useLicence In copyright icon
Created on2017-12-14 14:28:03