DEMOCRACY AND FOREIGN DIRECT INVESTMENT (FDI) RELATIONSHIP: EMPIRICAL EVIDENCE FROM BANGLADESH (1975-2015)

Year 2023, Volume: 7 Issue: 2, 517 - 540, 27.12.2023

Zobayer Ahmed , Md Omor Hossen , Md Mostafa Faısal , Tasnima Jahan Suraıya

Abstract

The present study investigates the relationship between democratic practice and foreign direct investment (FDI) in Bangladesh. There is an ongoing debate in academia regarding the effect of democracy on FDI inflow. Historically, FDI depends on stable democracy apart from many other relevant factors. This study used time series data from 1975 to 2015 for Bangladesh and estimated suitable econometric models. This study showed that the relationship between democracy and FDI is statistically insignificant in the long run.

Keywords

Bangladesh, Democracy, FDI, Political rights, civil liberties, OLS, ECM.

Demokrasi ve Doğrudan Yabancı Yatırım (DYY) İlişkisi: Bangladeş'ten Ampirik Kanıtlar (1975-2015)

Abstract

Bu çalışma Bangladeş'te demokratik uygulama ile doğrudan yabancı yatırım (DYY) arasındaki ilişkiyi araştırmaktadır. Demokrasinin doğrudan yabancı yatırım akışı üzerindeki etkisine ilişkin akademik çevrede süregelen bir tartışma var. Tarihsel olarak doğrudan yabancı yatırımlar diğer birçok ilgili faktörün yanı sıra istikrarlı demokrasiye de bağlıdır. Bu çalışmada Bangladeş için 1975'ten 2015'e kadar olan zaman serisi verileri kullanılmış ve uygun ekonometrik modeller tahmin edilmiştir. Bu çalışma, demokrasi ile doğrudan yabancı yatırım arasındaki ilişkinin uzun vadede istatistiksel olarak anlamsız olduğunu göstermiştir.

Keywords

Bangladeş, Demokrasi, DYY, Siyasi haklar, sivil özgürlükler, OLS, ECM

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