EconPapers    
Economics at your fingertips  
 

The role of Foreign Direct Investment in higher education in the developing countries (Does FDI promote education?)

Mazhar Mughal and Natalia Vechiu
Additional contact information
Natalia Vechiu: CATT - Centre d'Analyse Théorique et de Traitement des données économiques - UPPA - Université de Pau et des Pays de l'Adour

Working Papers from HAL

Abstract: This paper studies the impact of FDI inflows on higher education in developing countries for the period 1998-2008. A large panel of developing countries is analyzed using different econometric techniques and specifications. We find evidence of short-term negative effect of the FDI on tertiary education measured by school enrolment. The negative effect of FDI is confirmed for both secondary and tertiary education when measured as the adult population having acquired the level. Among other control variables, GDP, demographic growth and the services sector value added seem to have a significant impact on higher education. GDP and services value-added show the expected positive impact, while population growth appears to affect education enrollment and attainment negatively. The study highlights the need for considering the differential aspects of foreign investments' nature and characteristics, rather than treating them as a cure-all pill for the developing countries' development problem.

Keywords: FDI; Education; Human capital; Developing countries (search for similar items in EconPapers)
Date: 2011-02
New Economics Papers: this item is included in nep-cse, nep-edu and nep-int
Note: View the original document on HAL open archive server: https://univ-pau.hal.science/hal-01885159
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://univ-pau.hal.science/hal-01885159/document (application/pdf)

Related works:
Working Paper: The role of Foreign Direct Investment in higher education in the developing countries (Does FDI promote education?) (2011) Downloads
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:hal:wpaper:hal-01885159

Access Statistics for this paper

More papers in Working Papers from HAL
Bibliographic data for series maintained by CCSD ().

 
Page updated 2024-06-08
Handle: RePEc:hal:wpaper:hal-01885159