EconPapers    
Economics at your fingertips  
 

Locational Drivers of FDI in MENA Countries: A Spatial Attempt

Mehtap Hisarciklilar, Saime Kayam () and Ozgur Kayalica

MPRA Paper from University Library of Munich, Germany

Abstract: This study aims to analyze the locational drivers of FDI, with an emphasis on the role of market potential in MENA countries. Considering that the market does not necessarily comprise of the host economy but also trade opportunities in the region and in the rest of the world, this study distinguishes the country-specific, regional and trade-related market potential of the host MENA country in attracting FDI. It also examines the neighboring effects in locational choice. Using a panel of 18 countries covering the 1980-2001 time period, the model is estimated by Maximum Likelihood estimation method incorporating the possible spatial autocorrelation in the disturbances. The results imply that FDI in the MENA region is market oriented; as well as aiming at the domesic market in the host economy, it also utilises trade opportunities within the region.

Keywords: Foreign Direct Investment; market potential; MENA region; spatial econometrics (search for similar items in EconPapers)
JEL-codes: C23 F21 F23 R12 (search for similar items in EconPapers)
Date: 2006-05
New Economics Papers: this item is included in nep-afr and nep-geo
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5) Track citations by RSS feed

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/2085/1/MPRA_paper_2085.pdf original version (application/pdf)

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:pra:mprapa:2085

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().

 
Page updated 2022-05-29
Handle: RePEc:pra:mprapa:2085