Abstract
In this study, an attempt has been made to analyze the effects flow of foreign direct investment (FDI) arising from the implementation of liberalization polices (economic reform) on the gross domestic production (GDP) growth in Indian economy using a Cobb–Douglas production function and ARDL method during the period 1990-2008. The empirical results show that in the long run there exists a long-run relationship among the growth of gross domestic production and its major determinants of the labour force, the real capital and the real foreign direct investment. Finding indicates that foreign direct investment has positive effect but small significant on Gross Domestic Production, while the labour force and capital have had the most effect on gross domestic production.
Keywords
- Gross Domestic Production Search this journal for Gross Domestic Production (opens in a new tab)
- Trade Liberalization Search this journal for Trade Liberalization (opens in a new tab)
- Foreign Direct Investment Search this journal for Foreign Direct Investment (opens in a new tab)
- ARDL Approach Search this journal for ARDL Approach (opens in a new tab)
- Indian Economy Search this journal for Indian Economy (opens in a new tab)
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Copyright (c) 2013 Pratibha S. Gaikwad, Gholamreza Fathipour (Author)
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Keywords
- Gross Domestic Production Search this journal for Gross Domestic Production (opens in a new tab)
- Trade Liberalization Search this journal for Trade Liberalization (opens in a new tab)
- Foreign Direct Investment Search this journal for Foreign Direct Investment (opens in a new tab)
- ARDL Approach Search this journal for ARDL Approach (opens in a new tab)
- Indian Economy Search this journal for Indian Economy (opens in a new tab)
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Vol. 5 No. 8 (2013)
Financial Modeling, Innovation & Banking Efficiency
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