This study investigated the empirical evidence on the effect of exchange rate volatility on foreign direct investment (FDI) in Nigeria, using secondary time series data from1970 to 2004. In doing this, the study utilized the error correction model as well as OLS method of estimation. The results suggest, among others, that exchange rate volatility need not be a source of worry by foreign investors. Also, the study further reveals a significant positive relationship between real inward FDI and exchange rate. This implies that, depreciation of the Naira increases real inward FDI. Also, the results indicate that the structural adjustment programme (introduced in Nigeria in 1986) had a negative impact on real inward FDI, which could be due to the deregulation that was accompanied by exchange rate volatility. As such, a major challenge before the Central Bank of Nigeria therefore, is to attain a stable and realistic exchange rate that will boost domestic production, increase real inward FDI and maintain internal and external balance.
{"title":"FOREIGN DIRECT INVESTMENT AND EXCHANGE RATE VOLATILITY IN NIGERIA","authors":"T. Osinubi, L. Amaghionyeodiwe","doi":"10.21859/BFUP-07022","DOIUrl":"https://doi.org/10.21859/BFUP-07022","url":null,"abstract":"This study investigated the empirical evidence on the effect of exchange rate volatility on foreign direct investment (FDI) in Nigeria, using secondary time series data from1970 to 2004. In doing this, the study utilized the error correction model as well as OLS method of estimation. The results suggest, among others, that exchange rate volatility need not be a source of worry by foreign investors. Also, the study further reveals a significant positive relationship between real inward FDI and exchange rate. This implies that, depreciation of the Naira increases real inward FDI. Also, the results indicate that the structural adjustment programme (introduced in Nigeria in 1986) had a negative impact on real inward FDI, which could be due to the deregulation that was accompanied by exchange rate volatility. As such, a major challenge before the Central Bank of Nigeria therefore, is to attain a stable and realistic exchange rate that will boost domestic production, increase real inward FDI and maintain internal and external balance.","PeriodicalId":198236,"journal":{"name":"International journal of applied econometrics and quantitative studies","volume":null,"pages":null},"PeriodicalIF":0.0,"publicationDate":"2017-04-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"121110048","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
It is suggested that developing countries could catch up with the developed world if only they attained increased levels of human development. The links between growth and human development are complex even with human capital its self and human capital to the physical capital. Besides large disparities in indicators of human well-being, such as life expectancy and educational attainment, not all countries with relatively higher levels of human development handles to achieve high long-term economic growth rates (United Nations, 2006). As data points out that in order to reach the convergence among the countries, not only the physical to human capital ratio plays crucial role but also the income level specific effects. What these income level specific effects indicate in our study? How they are related with technology and ideas? Technologies are the way in which inputs to the production process are transformed into output and ideas improve the technology of production. Therefore, a new idea allows a given bundle of inputs to produce more or better output and ideas are non-rivalrous. Once an idea is created, anyone with knowledge of the idea can take advantage of it. Ideas are partially excludable while technologies in the inputs are mostly excludable since goods and inputs suffer from tragedy of commons. Thus, in order to benefit efficiently from the ideas and technology, the macro economic stability, social cohesion, common structural habits or feeling secure about the life, geography, religion, corruption, quality of institutions and governance structures matter for economic growth. That is what dummies stands for and that goes with what Bulutay (1995) emphasizes about the ambiance created by the countries.
{"title":"DISCUSSSION ON THE IDEA AND TECHNOLOGY IN LABOR AUGMENTING SOLOW MODEL BESIDES PHYSICAL AND HUMAN CAPITAL COMPLEMENTARITY","authors":"Erkan Erdil, K. Kalyoncu","doi":"10.21859/BFUP-07021","DOIUrl":"https://doi.org/10.21859/BFUP-07021","url":null,"abstract":"It is suggested that developing countries could catch up with the developed world if only they attained increased levels of human development. The links between growth and human development are complex even with human capital its self and human capital to the physical capital. Besides large disparities in indicators of human well-being, such as life expectancy and educational attainment, not all countries with relatively higher levels of human development handles to achieve high long-term economic growth rates (United Nations, 2006). As data points out that in order to reach the convergence among the countries, not only the physical to human capital ratio plays crucial role but also the income level specific effects. What these income level specific effects indicate in our study? How they are related with technology and ideas? Technologies are the way in which inputs to the production process are transformed into output and ideas improve the technology of production. Therefore, a new idea allows a given bundle of inputs to produce more or better output and ideas are non-rivalrous. Once an idea is created, anyone with knowledge of the idea can take advantage of it. Ideas are partially excludable while technologies in the inputs are mostly excludable since goods and inputs suffer from tragedy of commons. Thus, in order to benefit efficiently from the ideas and technology, the macro economic stability, social cohesion, common structural habits or feeling secure about the life, geography, religion, corruption, quality of institutions and governance structures matter for economic growth. That is what dummies stands for and that goes with what Bulutay (1995) emphasizes about the ambiance created by the countries.","PeriodicalId":198236,"journal":{"name":"International journal of applied econometrics and quantitative studies","volume":null,"pages":null},"PeriodicalIF":0.0,"publicationDate":"2009-12-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131251842","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Oil Price Shocks and Emerging Stock Markets: A Generalized VAR Approach","authors":"A. Maghyereh","doi":"10.1057/9780230599338_5","DOIUrl":"https://doi.org/10.1057/9780230599338_5","url":null,"abstract":"","PeriodicalId":198236,"journal":{"name":"International journal of applied econometrics and quantitative studies","volume":null,"pages":null},"PeriodicalIF":0.0,"publicationDate":"1900-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115514028","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
京公网安备 11010802042870号
京ICP备2023020795号-1
扫码关注我们
求助内容：
应助结果提醒方式：