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Impact of road transport on foreign direct investment and economic growth: Empirical evidence from simultaneous equations model

Samir Saidi
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Samir Saidi: Faculty of economics and management, University of Sfax, street of airport, Km 4.5, LP 1008, Sfax, Tunisia

E3 Journal of Business Management and Economics., 2016, vol. 7, issue 2, 064-071

Abstract: The aim of this article is to analyze the impact of road transport on the economic growth through its participation in the attractiveness of the foreign direct investment to Tunisia over the period between 1975 and 2014. The generalized method of moments was used to estimate a simultaneous equations model containing a growth equation and a foreign direct investment equation. The obtained results indicate that the roads promote the entry of the foreign direct investment by consequence the economic growth in the long term

Keywords: Tunisia; generalized method of moments; foreign direct investment; road transport; growth (search for similar items in EconPapers)
Date: 2016-08
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Handle: RePEc:etr:series:v:7:y:2016:i:02:p:064-071