The link between international trade flows of "Machinery and transport equipment" and foreign direct investment in Romania
Florentina Viorica Gheorghe and
Artur-Emilian Simion ()
Computational Methods in Social Sciences (CMSS), 2018, vol. 6, issue 1, 42-54
The paper investigates the causal relationship between the Romaniaâ€™s exports and imports of "Machinery and transport equipment", the group of goods with the largest percentage share in the international trade and foreign direct investments, using annual data series for the period 1990-2016. The developed econometric model has demonstrated the strong connection between these indicators, showing that exports of machinery and transport equipment are 85% influenced by imports of similar goods and by foreign direct investments. In the long run, the study reveals a direct link between foreign direct investments and growth in exports, as confirmed by other empirical studies on exports and imports at national and international level, too. The VECM analysis was performed using EViews 10 statistical software and it is based on data extracted from the United Nation statistical database (UNCTAD database).
Keywords: export; import; foreign direct investment; Johansen cointegration test; Granger causality test; vector correction error (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed
Downloads: (external link)
http://cmss.univnt.ro/wp-content/uploads/vol/split ... _issue_1_art.004.pdf First version, 2018 (application/pdf)
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:ntu:ntcmss:vol6-iss1-42-54
Access Statistics for this article
Computational Methods in Social Sciences (CMSS) is currently edited by Bogdan Oancea
More articles in Computational Methods in Social Sciences (CMSS) from "Nicolae Titulescu" University of Bucharest, Faculty of Economic Sciences Contact information at EDIRC.
Bibliographic data for series maintained by Stefan Ciucu ().