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Foreign Direct Investment (FDI) and Employment: A Case of Province of Punjab, Pakistan

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  • Naila Sarwar
  • Mohammad Shujaat Mubarik

Abstract

Foreign direct investment is considered a significant source of capital inflows in developing countries. Along with its several impacts, FDI also influences the employment level of the host country. This study investigated the impact of foreign direct investment on employment in the province of Punjab, Pakistan. We employed the annual data from 1984-2010 to test this relationship. The stationary of the variables was checked by applying ADF test. To find the relationship among variables, we applied ARDL approach. We found existence of co-integration between FDI and employment. Results also illustrated a significant long run direct relationship between variables.

Suggested Citation

  • Naila Sarwar & Mohammad Shujaat Mubarik, 2014. "Foreign Direct Investment (FDI) and Employment: A Case of Province of Punjab, Pakistan," The Economics and Finance Letters, Conscientia Beam, vol. 1(4), pages 59-65.
    • Handle: RePEc:pkp:teafle:v:1:y:2014:i:4:p:59-65:id:1588
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    Cited by:

    1. Sharifah Nazatul Faiza Syed Mustapha Nazri & Mohd Ikram Abdul Rasib & Salwa Zolkifli, 2019. "The Influence of Competency, Usage of It and Career Expectation on Internal Auditor¡¯s Effectiveness in Ggovernment Linked Companies (GLCs)," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 10(3), pages 337-352, May.
    2. Areej Aftab Siddiqui & Deep Parikh, 2018. "Comparative Analysis of Impact of Foreign Direct Investment, Exports and Employment on Growth of Manufacturing Industries in India," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 8(9), pages 1196-1210, September.
    3. Dani Rahman Hakim & Eeng Ahman & Kusnendi Kusnendi, 2023. "The effect of FDI on the host countries' employment: A meta-regression analysis," Russian Journal of Economics, ARPHA Platform, vol. 9(2), pages 158-182, July.
    4. Ahmad Almashaqbeh & Hasnah Shaari & Hijattulah Abdul-Jabbar, 2019. "The Effect of Board Diversity on Real Earnings Management: Empirical Evidence From Jordan," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 11(5), pages 495-508, August.
    5. Zalina Zainudin & Zarina Mohd Zaki & Abdul Razak Abdul Hadi & Hafezali Iqbal Hussain & Mazhar Hallak Kantakji, 2019. "Investor Sentiment and Firm Financial Performance of Malaysian IPO Firms: Pre and Post Financial Crisis," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 11(5), pages 450-458, August.
    6. Mohamad Helmi bin Hidthiir & Muhammad Farhan Basheer & Saira Ghulam Hassan, 2019. "The Simultaneity of Corporate Financial Decisions Under Different Levels of Managerial Ownership: A Case of Pakistani Listed Firms," Research in World Economy, Research in World Economy, Sciedu Press, vol. 10(2), pages 147-159, July.

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