Foreign Direct Investments'Effects on the Balance of Current Account: Cointegration Analysis with Multiple Structural Breaks in Turkey, China and India Sample
Ismet Gocer and
Journal of BRSA Banking and Financial Markets, 2014, vol. 8, issue 1, 87-116
In this study the effects of Foreign Direct Investment (FDI) on current account deficit were analyzed with multiple structural breaks unit root test of Carrion-i-Silvestre et al. (2009), multiple structural breaks cointegration test of Maki (2012) and dynamic ordinary smallest square method for Turkey, China and India by using 1980-2011 period data. According to the empirical findings; 10% increase of FDI leads to an decrease on the current account deficit in Turkey by 3%, India by 4.1%; on the contrary, it has been determined an increase on the current account surplus in China by 3.8%
Keywords: Foreign Direct Investment; Balance of Current Account; Cointegration Analysis with Multiple Structural Breaks (search for similar items in EconPapers)
JEL-codes: F21 F32 O24 (search for similar items in EconPapers)
References: Add references at CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:bdd:journl:v:8:y:2014:i:1:p:87-116
Access Statistics for this article
More articles in Journal of BRSA Banking and Financial Markets from Banking Regulation and Supervision Agency Contact information at EDIRC.
Series data maintained by Zafer Kovancý ().