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Relationship between Corruption and FDI Inflow: A Causality Test

Author

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  • Abdelhamid A. Mahboub
  • Hatem Hassan Garamon

Abstract

This study examines the relationship between the inflow of foreign direct investment and corruption. By using 2006 – 2015 time series data from 19 developed countries and 18 developing countries, it starts by testing the Granger causality between these two variables.

Suggested Citation

  • Abdelhamid A. Mahboub & Hatem Hassan Garamon, 2019. "Relationship between Corruption and FDI Inflow: A Causality Test," Journal of Innovative Business and Management, DOBA Faculty, vol. 11(1).
    • Handle: RePEc:dob:journl:v:11:y:2019:i:1:a:10
    DOI: 10.32015/JIMB/2019-11-1-10
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    More about this item

    Keywords

    corruption; foreign direct investment; Granger causality;
    All these keywords.

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • P45 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - International Linkages

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