Relationship between financial crisis and foreign direct investment in developing countries using semiparametric regression approach

Meltem Ucal, Kivilcim Metin Özcan, Mehmet Huseyin Bilgin, Julius Mungo
2010 Journal of Business Economics and Management  
This paper analyzes whether and to what extent the inflow of FDI is affected before and after the occurence of a financial crisis in developing countries. The paper uses a semiparametric Generalized Partial Linear Models (GPLM) regression approach to check the appropriateness and effectiveness of financial crisis in the FDI regression model. The results indicate that FDI inflows decrease in the years after a financial crisis and an upturn in FDI inflows the year before a financial crisis hit
more » ... ncial crisis hit the country. Reference to this paper should be made as follows: Ucal, M.; Özcan, K. M.; Bilgin, M. H.; Mungo, J. 2010. Relationship between financial crisis and foreign direct investment in developing countries using semiparametric regression approach, Journal of Business Economics and Management 11(1): 20-33. ________ 1 Corresponding Author. Reikšminiai žodžiai: semiparametrės regresijos modelis, finansų krizė, tiesioginės užsienio investicijos, besivystančios šalys.
doi:10.3846/jbem.2010.02 fatcat:yxlkgojx5rfsroyaakab2xb22m