ECONOMIC FREEDOM AND FOREING DIRECT INVESTMENT IN E7 COUNTRIES: A PANEL DATA ANALYSIS

Year 2020, Issue: 36, 542 - 570, 31.12.2020

Mehmet Özcan Gökhan Akar

https://doi.org/10.14520/adyusbd.728635

Cited By: 1

Abstract

The positive contribution of Foreign Direct Investment (FDI) to economic growth is emphasized in the literature. In this context, FDI is regarded as an important factor due to the expected positive externalities on other macro-economic factors. Therefore, there are determinants that will enable FDI to gain greater access to the economies. It is assumed that the economic freedom index could be one of these determinants. The aim of this study is to examine the relationship between economic freedoms and FDI in the sample of E7 countries, which are China, India, Brazil, Russia, Indonesia, Mexico and Turkey. In the study, the variables analyzed using the panel data method using data from 1996-2018 period. The cross-section dependency between the variables is tested with Pesaran (2004) test. According to the results of the Dumitrescu and Hurlin (2012) Granger causality test, causality relationship from economic freedoms to direct foreign capital investments could not be determined.

Keywords

Economic freedom, foreing direct investment, panel data analysis

E7 ÜLKELERİNDE EKONOMİK ÖZGÜRLÜK VE DOĞRUDAN YABANCI SERMAYE YATIRIMLARI: PANEL VERİ ANALİZİ

Abstract

Doğrudan yabancı sermaye yatırımlarının ekonomik büyümeye olumlu katkısına literatürde vurgu yapılmaktadır. Bu kapsamda diğer makro ekonomik değişkenler üzerinde beklenen pozitif dışsallıkları nedeniyle DYSY önemli bir faktör olarak kabul edilmektedir. Bu nedenle Doğrudan yabancı sermaye yatırımlarının ekonomilere daha fazla giriş yapmasını sağlayacak belirleyiciler bulunmaktadır. Ekonomik Özgürlük Endeksi’nin bu belirleyicilerden biri olduğu varsayılmaktadır. Bu çalışmanın amacı E7 ülkeleri olarak ifade edilen Çin, Hindistan, Brezilya, Rusya, Endonezya, Meksika ve Türkiye örnekleminde ekonomik özgürlükler ve doğrudan yabancı sermaye yatırımları arasındaki ilişkiyi incelemektir. Çalışmada değişkenler için 1996-2018 dönemine ait veriler kullanılarak panel veri yöntemiyle analiz edilmiştir. Panel veri setinde yer alan değişken arasındaki yatay kesit bağımlılık Pesaran (2004) testi ile sınamıştır. Çalışmada elde edilen Dumitrescu ve Hurlin (2012) Granger nedensellik testi sonuçlarına göre ekonomik özgürlüklerden doğrudan yabancı sermaye yatırımlarına doğru herhangi bir nedensellik ilişkisi tespit edilememiştir.

Keywords

Ekonomik özgürlük, doğrudan yabancı sermaye yatırımları, panel veri analizi

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