Cover Image

The impact of infrastructure on foreign direct investment: The case of Malaysia

The purpose of this study is to examine the role of infrastructure in influencing FDI inflows to Malaysia for the period of 1970-2010 using time series analysis techniques that address the problem of non-stationarity.Specifically, infrastructure together with other determinants of FDI such as market...

Full description

Saved in:
Bibliographic Details
Main Authors: Abu Bakar, Nor'Aznin, Che Mat, Siti Hadijah, Harun, Mukaramah
Format: Article
Language:English
Published: Elsevier Ltd. 2012
Subjects:
HF Commerce
Online Access:http://repo.uum.edu.my/16679/1/1-s2.0-S.pdf
http://repo.uum.edu.my/16679/
http://doi.org/10.1016/j.sbspro.2012.11.112
Tags: Add Tag
No Tags, Be the first to tag this record!
id my.uum.repo.16679
record_format eprints
spelling my.uum.repo.166792016-05-30T03:15:28Z http://repo.uum.edu.my/16679/ The impact of infrastructure on foreign direct investment: The case of Malaysia Abu Bakar, Nor'Aznin Che Mat, Siti Hadijah Harun, Mukaramah HF Commerce The purpose of this study is to examine the role of infrastructure in influencing FDI inflows to Malaysia for the period of 1970-2010 using time series analysis techniques that address the problem of non-stationarity.Specifically, infrastructure together with other determinants of FDI such as market size, trade openness, and human capital are used to analyze their effects on FDI inflows.The ADF test is used to see whether all variables are stationary.Results obtained show that all variables are non-stationary and integrated of order one or I(1).After confirming that all variables are stationary, the ordinary least square (OLS) with the standard White Heteroskedasticity-Consistent Standard Errors and Covariance is employed to estimate the model. Findings indicate that infrastructure has a significant and positive effect on FDI inflows to Malaysia. As expected other FDI's determinants; market size, trade openness and human capital still play significant roles in determining FDI inflows to Malaysia. Results from this study can be used as guidance for policy makers on FDI where government can give more attention on the development of both; hard and soft infrastructure. The availability of infrastructure in a country definitely can attract FDI and further can accelerate the rate of economic development. Elsevier Ltd. 2012 Article PeerReviewed application/pdf en cc_by http://repo.uum.edu.my/16679/1/1-s2.0-S.pdf Abu Bakar, Nor'Aznin and Che Mat, Siti Hadijah and Harun, Mukaramah (2012) The impact of infrastructure on foreign direct investment: The case of Malaysia. Procedia - Social and Behavioral Sciences, 65. pp. 205-211. ISSN 1877-0428 http://doi.org/10.1016/j.sbspro.2012.11.112 doi:10.1016/j.sbspro.2012.11.112
institution Universiti Utara Malaysia
building UUM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Utara Malaysia
content_source UUM Institutionali Repository
url_provider http://repo.uum.edu.my/
language English
topic HF Commerce
spellingShingle HF Commerce
Abu Bakar, Nor'Aznin
Che Mat, Siti Hadijah
Harun, Mukaramah
The impact of infrastructure on foreign direct investment: The case of Malaysia
description The purpose of this study is to examine the role of infrastructure in influencing FDI inflows to Malaysia for the period of 1970-2010 using time series analysis techniques that address the problem of non-stationarity.Specifically, infrastructure together with other determinants of FDI such as market size, trade openness, and human capital are used to analyze their effects on FDI inflows.The ADF test is used to see whether all variables are stationary.Results obtained show that all variables are non-stationary and integrated of order one or I(1).After confirming that all variables are stationary, the ordinary least square (OLS) with the standard White Heteroskedasticity-Consistent Standard Errors and Covariance is employed to estimate the model. Findings indicate that infrastructure has a significant and positive effect on FDI inflows to Malaysia. As expected other FDI's determinants; market size, trade openness and human capital still play significant roles in determining FDI inflows to Malaysia. Results from this study can be used as guidance for policy makers on FDI where government can give more attention on the development of both; hard and soft infrastructure. The availability of infrastructure in a country definitely can attract FDI and further can accelerate the rate of economic development.
format Article
author Abu Bakar, Nor'Aznin
Che Mat, Siti Hadijah
Harun, Mukaramah
author_facet Abu Bakar, Nor'Aznin
Che Mat, Siti Hadijah
Harun, Mukaramah
author_sort Abu Bakar, Nor'Aznin
title The impact of infrastructure on foreign direct investment: The case of Malaysia
title_short The impact of infrastructure on foreign direct investment: The case of Malaysia
title_full The impact of infrastructure on foreign direct investment: The case of Malaysia
title_fullStr The impact of infrastructure on foreign direct investment: The case of Malaysia
title_full_unstemmed The impact of infrastructure on foreign direct investment: The case of Malaysia
title_sort impact of infrastructure on foreign direct investment: the case of malaysia
publisher Elsevier Ltd.
publishDate 2012
url http://repo.uum.edu.my/16679/1/1-s2.0-S.pdf
http://repo.uum.edu.my/16679/
http://doi.org/10.1016/j.sbspro.2012.11.112
_version_ 1644282035315933184
score 13.211869

Similar Items