Contributing Factors of Inland Investment

Malik Shahzad Shabbir
Malik Shahzad Shabbir * §
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Abstract

Investment is a catalyst for the economic growth, and the efforts to explore the factors catalyzing investment, whether domestic or foreign, public or private, are unstoppable. The present study attempts to investigate empirically, the factors responsible for shaping up domestic investment in the middle income Asian countries. We use a sample of twelve countries and the data extends over a period of 31 years ending at 2010. We employ empirical Bayesian approach for analysis, after undergoing the preliminary testing of data through panel unit root test, redundancy test and panel co-integration. The results suggests that domestic investment is positively determined by lagged investment, real GDP per capita growth, domestic credit to private sector, domestic saving, trade and government expenditures whereas a negative relationship of domestic investment is observed with inflation and interest rate. Findings of the study provide a torch to the policy makers who intend to boost domestic investment for attaining higher growth rates.

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Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

How to Cite This Article

Malik Shabbir. 2016. "Contributing Factors of Inland Investment". Global Journal of Management and Business Research, Global Journal of Management and Business Research - C: Finance GJMBR-C Volume 16 (GJMBR Volume 16 Issue C5).

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Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

Keywords
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GJMBR-C Classification JEL Code: G24
  • Submission ReceivedDecember 12, 2015
  • Peer Review Double Blind
    Handling Editor
  • Accepted January 4, 2016
  • Published January 15, 2016
Version of record

v1.2

Issue date
May 31, 2016

Language
English
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Contributing Factors of Inland Investment

Malik Shabbir
Malik Shabbir University of Lahore
  • Submission ReceivedDecember 12, 2015
  • Peer Review Double Blind
    Handling Editor
  • Accepted January 4, 2016
  • Published January 15, 2016