Theoretical and Applied Economics
No. 10 / 2012 (575)
A VAR analysis of the connection between FDI and economic growth in Romania
West University of Timișoara
Abstract. The impact of FDI on economic growth is neither homogeneous, nor completely clarified. Due to the accumulation of capital in the host economy, FDI is expected to encourage the incorporation of new inputs and technologies in the process of production. However, the impact of FDIon economic growth is not so shaped up in empirical studies. Accordingly, while some studies remarked a positive impact of FDI on economic growth, others showed a negative relationship between the two variables. In this article, we carried out an analysis of vector autoregressive type (VAR), so as to identify the relationship between FDI and economic growth in Romania between1991-2009. The main conclusion of our study is that the FDI volume does not initiate growth; and that economic growth is an important factor in terms of attracting FDI in Romania.
Keywords: foreign direct investments; economic growth; VAR model; impulse functions.
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Contents
- Use of fixed income products
within a company's portfolio
Vasile DEDU
Dan Costin NIŢESCU
- An empiric approach of the FDI-taxation
relationship in Romania
Ioan TALPOȘ
Bianca Maria LUDOŞEAN (STOICIU)
- Public-private partnership role in increasing
the quality of the health insurance services
Dan CONSTANTINESCU
- The economic integration:
concept and end of process
Liviu C. Andrei
- The readiness of employees
for the future society.
Case study
Lorena BĂTĂGAN
Daniela Luminiţa CONSTANTIN
- Transition to a green economy – a challenge
and a solution for the world economy
in multiple crisis context
Alina-Mihaela BABONEA
Radu-Marcel JOIA
- A VAR analysis of the connection between FDI
and economic growth in Romania
Bianca Maria LUDOŞEAN (STOICIU)
- EU budget reform in the context of the current
economic crisis
Ionela POPA
Denisa PARPANDEL
Diana CODREANU
- Technological innovation as a mean
to increase economic competitiveness
Daniela VASILE
Viorel VULTURESCU
