Welcome to the InfoSci Platform
Reference Hub5
Causal Relationship between Foreign Direct Investment and Economic Growth: Evidence from Turkey

Causal Relationship between Foreign Direct Investment and Economic Growth: Evidence from Turkey

Hasan Bakır, Filiz Eryılmaz
Copyright: © 2015 |Pages: 12
ISBN13: 9781466672888|ISBN10: 1466672889|EISBN13: 9781466672895
DOI: 10.4018/978-1-4666-7288-8.ch020
Cite Chapter Cite Chapter

MLA

Bakır, Hasan, and Filiz Eryılmaz. "Causal Relationship between Foreign Direct Investment and Economic Growth: Evidence from Turkey." Handbook of Research on Strategic Developments and Regulatory Practice in Global Finance, edited by Özlem Olgu, et al., IGI Global, 2015, pp. 319-330. https://doi.org/10.4018/978-1-4666-7288-8.ch020

APA

Bakır, H. & Eryılmaz, F. (2015). Causal Relationship between Foreign Direct Investment and Economic Growth: Evidence from Turkey. In Ö. Olgu, H. Dinçer, & Ü. Hacıoğlu (Eds.), Handbook of Research on Strategic Developments and Regulatory Practice in Global Finance (pp. 319-330). IGI Global. https://doi.org/10.4018/978-1-4666-7288-8.ch020

Chicago

Bakır, Hasan, and Filiz Eryılmaz. "Causal Relationship between Foreign Direct Investment and Economic Growth: Evidence from Turkey." In Handbook of Research on Strategic Developments and Regulatory Practice in Global Finance, edited by Özlem Olgu, Hasan Dinçer, and Ümit Hacıoğlu, 319-330. Hershey, PA: IGI Global, 2015. https://doi.org/10.4018/978-1-4666-7288-8.ch020

Export Reference

Mendeley
Favorite

Abstract

In this chapter, the authors investigate the causality relationship between the inflows of foreign direct investment (FDI) and economic growth as measured by Real Gross Domestic Product (GDP) per capita in Turkey during the period 1974-2012 by using the Granger causality tests. The causality test indicates that economic growth Granger-causes FDI. This means that there is bidirectional causality from Reel GDP to FDI in Turkey. So the author results support “the growth – driven FDI hypothesis”. This demonstrates that in the related time in Turkey, more direct foreign investment entered the economy together with an increase in economic growth.

Request Access

You do not own this content. Please login to recommend this title to your institution's librarian or purchase it from the IGI Global bookstore.