Foreign direct investment and economic growth in Vietnam

By Sajid Anwar, L. Nguyen. 2010

325 citations recorded by the source corpus.

By making use of a recently released panel dataset that covers 61 provinces of Vietnam from 1996–2005, this study examines the link between foreign direct investment and economic growth. Our analysis, which is based on a simultaneous equations model, reveals that in overall terms a mutually reinforcing two-way linkage between FDI and economic growth exists in Vietnam. However, this is not the case for each and every region of Vietnam. The results presented in this study suggest that the impact of foreign direct investment on economic growth in Vietnam will be larger if more resources are invested in education and training, financial market development and in reducing the technology gap between the foreign and local firms.

Subfields: Economics and Econometrics, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/9bd15d87717c1786b27aedf4ddf2b46001768734

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Citations in the corpus

Foreign direct Investment–CO2 emissions nexus in Middle East and North African countries: Importance of biomass energy consumption (2019, background): “Researchers have simultaneously examined the impact of FDI on environmental quality and economic growth (Nguyen and Nguyen, 2007; Anwar and Nguyen, 2010; Azman-Saini et al., 2010; Lau et al., 2014; Omri et al., 2014; Abdouli et al. 2018; Liu and Lin, 2019)3.”
Causal Relationships between Energy Consumption, Foreign Direct Investment and Economic Growth: Fresh Evidence from Dynamic Simultaneous-Equations Models (2015, background): “Moreover, Anwar and Nguyen (2010) study the two-way linkage between economic growth and FDI in 61 provinces of Vietnam over the period 1996–2005.”
Causal interactions between CO2 emissions, FDI, and economic growth: Evidence from dynamic simultaneous-equation models (2014, background): “…by economic growth, environmental degradation, and capital stock, financial development level (FD) as measured by the ratio of total credit of the private sector to GDP, and the real effective exchange rate (RER) (e.g., Anwar and Nguyen, 2010; Anwar and Sun, 2011; Lee, 2013; and Omri, 2013).”
The Impact of FDI Inflows and Environmental Quality on Economic Growth: an Empirical Study for the MENA Countries (2017, background): “For the period 1996–2005, Anwar and Nguyen (2010) examined the link between foreign direct investment and economic growth in Vietnam using the generalized method of moments (GMM) estimation model.”
Foreign direct investment and human capital in developing countries: a panel data approach (2016, background): “Using province level panel data from Vietnam, Anwar and Nguyen (2010) showed that a two-way causation exists between FDI and economic growth. paper is based on country level panel data from 55 developing countries over the 1980–2011 period.”
Is foreign direct investment productive? A case study of the regions of Vietnam (2014, unknown): “Anwar and Nguyen (2010a) found that a two-way mutually reinforcing relationship between output growth and FDI growth exists in Vietnam.”
The 45 years of foreign direct investment research: Approaches, advances and analytical areas (2017, unknown): “Anwar and Nguyen (2010) identified the factors which determine the connection between FDI and economic growth and their study supports the argument to assess the FDI-led growth.”