ABSTRACT Over the past two decades, Turkey has recorded a substantial increase in the level of annual foreign direct investment (FDI) inflows. Building on the prior literature, this paper provides an empirical analysis of location-related determinants of FDI. This is undertaken by means of a co- integration analysis of major locational factors impacting upon the level of FDI inflows for the period 1980-1998. The evidence from this study supports the contention that while Turkey offers several location advantages to foreign investors in terms of market size, infrastructure, openness of the economy and market attractiveness, the lack of exchange rate and economic stability has hindered its efforts to harbor much higher volume of FDI.

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    ABSTRACT: The role of foreign direct investment in the development of Nigerian economy cannot be over emphasized. Foreign direct investment provides capital for investment, it enhances job creation and managerial skills, and possibly technology transfer. This paper investigates the determinants of foreign direct investment in Nigeria. The error correction technique was employed to analyze the relationship between foreign direct investment and its determinants. The results reveal that the market size of the host country, deregulation, political instability, and exchange rate depreciation are the main determinants of foreign direct investment in Nigeria. The authors recommend the following policies among others: expansion of the country's GDP via production incentives; further deregulation of the economy through privatization and reduction of government interference in economic activities; strengthening of the political institutions to sustain the ongoing democratic process; gradual depreciation of the exchange rate; and increased investment in the development of the nation's infrastructure.
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    ABSTRACT: This paper explores the locational determinants for FDI in Jamaica using a framework established by researchers Erdal and Tatotglu (2002) in a study of the economy of Turkey modelled around time series data for six dependent variables for the period 1970 to 2006. The major preliminary findings are that the Jamaican economic data suggests that inward FDI flows are significantly positively associated with infrastructure and devaluations; positively but less significantly with economic growth and that FDI may be negatively associated with GDP. The direction of causality among these variables should be the subject of future work. The findings have implications for country-level FDI policy-making in Jamaica.
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    ABSTRACT: This study aims to evaluate the long-run and short-run relationships among foreign direct investment (FDI) inflows and their determinants in Jordan for the (1978–2012) period. The bounds testing approach is used to analyze the long-run and short-run relationships among the variables. However, the Granger causality test is utilized to explore the directions of causality among the variables. The results identify that there are long-run and short-run relationships among FDI and its determinants. Moreover, the Granger causality test recommends a deferent causal relationship among FDI and their determinants. In general, the Jordanian policy makers have to be aware to the importance of inward FDI in the Jordanian economy.
    Economic Modelling 04/2015; 46:27-35. DOI:10.1016/j.econmod.2014.12.027 · 0.70 Impact Factor


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May 21, 2014