FDI and Pollution: A Granger Causality Test using Panel Data

Nottingham University Business School
Journal of International Development (Impact Factor: 0.88). 04/2005; 17(3). DOI: 10.1002/jid.1196
Source: RePEc

ABSTRACT This study reports the findings of Granger causality tests on the relationship between FDI and pollution across 112 countries over 15-28 years. Our results uncover alternative causality relationships between the two variables depending on a host country's level of development.

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Robert Hoffmann