경제자유화가 외국인직접투자 유치에 미치는 영향
The Effect of Economic Liberalization on Foreign Direct Investment
0
조회
0
다운로드
1
인용
0
참고문헌
키워드
초록
Purpose - This study analyzed the correlation between economic liberalization and foreign direct investment. The purpose of this study is to seek ways to attract foreign direct investment from developing countries. Design/methodology/approach - This study analysed with observations of 19 from 2000 to 2018 using a fixed effect model, a random effect model, and a two-way fixed effect model. Findings - First, it was found that economic liberalization had a positive effect on attracting foreign direct investment in the early stages of economic liberalization. Second, it was found that economic liberalization in the deepening stage of economic liberalization had a negative effect on attracting foreign direct investment. In general, it was found that the higher the level of economic liberalization in developing countries is not accompanied by innovative changes in the industrial structure, the higher the level of economic liberalization is likely to decrease the inducement of foreign direct investment due to negative factors such as an increase in labor costs. Overall, this study approved that Economic liberalization have a non-linear (inverted U-shape) relationship with the inflow of foreign direct investment. Research implications or Originality - First, this study attempted to expand the variables for the determinants of FDI by analyzing economic factors which is a determinent of FDI. Second, economic liberalization generally has a positive effect on foreign direct investment, but it proved that it does not have only positive effects as a factor of attracting foreign direct investment in developing countries. The advantage of low wages in ASEAN countries acts as a factor for foreign direct investment, but as the degree of economic liberalization increases, the environment such as government size, guarantee of property rights, international trade freedom, fiscal soundness, and regulations change positively. On the other hand, it can be suggested that if the industrial level is less, it may lead to a loss of comparative advantage and a decrease in investment.
Abstract
Purpose - This study analyzed the correlation between economic liberalization and foreign direct investment. The purpose of this study is to seek ways to attract foreign direct investment from developing countries. Design/methodology/approach - This study analysed with observations of 19 from 2000 to 2018 using a fixed effect model, a random effect model, and a two-way fixed effect model. Findings - First, it was found that economic liberalization had a positive effect on attracting foreign direct investment in the early stages of economic liberalization. Second, it was found that economic liberalization in the deepening stage of economic liberalization had a negative effect on attracting foreign direct investment. In general, it was found that the higher the level of economic liberalization in developing countries is not accompanied by innovative changes in the industrial structure, the higher the level of economic liberalization is likely to decrease the inducement of foreign direct investment due to negative factors such as an increase in labor costs. Overall, this study approved that Economic liberalization have a non-linear (inverted U-shape) relationship with the inflow of foreign direct investment. Research implications or Originality - First, this study attempted to expand the variables for the determinants of FDI by analyzing economic factors which is a determinent of FDI. Second, economic liberalization generally has a positive effect on foreign direct investment, but it proved that it does not have only positive effects as a factor of attracting foreign direct investment in developing countries. The advantage of low wages in ASEAN countries acts as a factor for foreign direct investment, but as the degree of economic liberalization increases, the environment such as government size, guarantee of property rights, international trade freedom, fiscal soundness, and regulations change positively. On the other hand, it can be suggested that if the industrial level is less, it may lead to a loss of comparative advantage and a decrease in investment.
참고문헌 (25)
- 남현정, "해외직접투자 결정요인에 관한 연구: 경제자유화와 부패에 대한 새로운 시각", 아태비즈니스연구, 10(4), pp.153~165 (2019), 경영경제연구소[DOI]
- 박선화, "중국 자본주의체제 분석: 포드주의와 포스트포드주의를 중심으로", 국제정치연구, 24(1), pp.153~176 (2021), 동아시아국제정치학회[DOI]
- Alfaro, L., "FDI and economic growth : the role of local financial markets", Journal of International Economics, 64, pp.89~112 (2004)
- Trends and patterns of foreign direct investments in Asia: a comparative perspective, "Athukorala, P.", Australian National University, ~, pp.Australian National University Working Paper No. 2009 (2009), 08
- Aziz, O. G., "Institutional quality and FDI inflows in Arn ab economies", Finance Research Letters, 25, pp.111~123 (2018)
- Aziz, O. G., "Determinants of FDI inflows to Arab economies", Journal of International Trade and Economic Development, 25(3), pp.325~356 (2016)
- Azman-Saini, W. N. W., "Foreign direct investment, economic freedom and economic growth: International evidence", Economic Modelling, 27, pp.1079~1089 (2010)
- Bengoa, M., "Foreign direct investment, economic freedom and growth : new evidence from Latin America", European Journal of Political Economy, 19(3), pp.529~545 (2003)
- Chinese industry after 25 years of reform, China’s Economy: Retrospect and Prospect, "Brandt, L.", Woodrow Wilson International Institute for Scholars, 20~25, pp.Asia Program Special Report, No. 129 (2005)
- Buzdugan, S., "Making the Most of FDI for Development: ’New’ Industrial Policy and FDI Deepening for Industrial Upgrading", Transnational Corporations, 25(1), pp.1~21 (2018)
- Dkhili, H., "The Relationship between Economic Freedom and FDI versus Economic Growth: Evidence from the GCC Countries", Journal of Risk Financial Manag, 11(4), pp.1~17 (2018)
- Economou, F., "Economic freedom and asymmetric crisis effects on FDI inflows: The case of four South European economies", Research in International Business and Finance, 49, pp.114~126 (2019)
- Gereffi, Gary, "Development Models and Industrial Upgrading in China and Mexico", European Sociological Review, 25(1), pp.37~51 (2009)
- Hu, A. G. Z., "Science and technology in China", Paper presented at the conference on China’s Economic Transition: Origins, Mechanisms, and Consequences (2004)
- Javorcik, B., "The composition of foreign direct investment and protection of intellectual property rights: evidence from transition economies", European Economic Review, 48, pp.39~62 (2004)
- Masron, T.A, "FDI in ASEAN-8: Does institutional quality matter?", Applied Economics Letters, 20(2), pp.186~189 (2013)
- Mina, W. M., "The Institutional Reforms Debate and FDI Flows to the MENA Region: The “Best” Ensemble", World Development, 40(9), pp.1798~1809 (2012)
- Nunnenkamp, P., "Intellectual property rights and foreign direct investment : a disaggregated analysis", Review of World Economics, 140, pp.393~414 (2004)
- Pascal L. Ghazalian, "The effects of economic freedom on FDI inflows:an empirical analysis", Applied Economics, 51(11), pp.1111~1132 (2019)
- Quazi, R. M., "Economic Freedom and Foreign Direct Investment in East Asia", Journal of the Asia Pacific Economy, 12(3), pp.329~344 (2007)
- Sambharya, R. B., "Does economic freedom in host countries lead to increased foreign direct investment?", Competitiveness Review, 25, pp.2~24 (2015)
- Sayari, N., "The impact of value added components of GDP and FDI on economic freedom in Europe", Economic Systems, 42(2), pp.282~294 (2018)
- Stiglitz, J. E., "Capital market liberalization, economic growth, and instability", World Development, 28(6), pp.1075~1086 (2000)
- Global Value Chains and Development: Investment and Value Added Trade in the Global Economy, "UNCTAD", United Nations, ~ (2013)
- Wooldridge, J.M., "Econometric analysis of cross section and panel data" (2002), The MIT Press