EconPapers    
Economics at your fingertips  
 

The Relationship between Economic Freedom and FDI versus Economic Growth: Evidence from the GCC Countries

Hichem Dkhili () and Lassad Ben Dhiab ()
Additional contact information
Hichem Dkhili: College of Business Administration, Northern Border University, Arar 91431, Saudi Arabia
Lassad Ben Dhiab: College of Business Administration, Northern Border University, Arar 91431, Saudi Arabia

Journal of Risk and Financial Management, 2018, vol. 11, issue 4, 1-17

Abstract: This study aims to explain the role of economic freedom in attracting foreign investments and thus raising the level of economic growth. Through a study based on a sample composed of the Gulf Cooperation Council (GCC) countries. A standard model consisting of GCC countries (Saudi Arabia, United Arab Emirates, Qatar, Kuwait, and Oman) was used during the period from 1995 to 2017. We based on the analytical descriptive and secondly, we used a multivariate analysis based on the panel unit root test, the cointegration and finally the regression Fully Modified Ordinary Least Squares (FMOLS) and Dynamic Ordinary Least Squares (DOLS) following the existence of a long-term integration, which includes the modern standard methods to determine the role of economic freedom in raising foreign direct investment and thus economic growth in the second stage. The research findings from GCC countries support the literature, suggesting that there are indeed some indications that greater levels of economic freedom support higher rates of economic growth in a country.

Keywords: economic growth; economic freedom; foreign direct investment; panel data (search for similar items in EconPapers)
JEL-codes: C E F2 F3 G (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link)
https://www.mdpi.com/1911-8074/11/4/81/pdf (application/pdf)
https://www.mdpi.com/1911-8074/11/4/81/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jjrfmx:v:11:y:2018:i:4:p:81-:d:184762

Access Statistics for this article

Journal of Risk and Financial Management is currently edited by Prof. Dr. Michael McAleer

More articles in Journal of Risk and Financial Management from MDPI, Open Access Journal
Bibliographic data for series maintained by XML Conversion Team ().

 
Page updated 2018-12-01
Handle: RePEc:gam:jjrfmx:v:11:y:2018:i:4:p:81-:d:184762