Estimating the relationship between Developed Regions Outward Foreign Direct Investment (FDI) and Emerging Market Economies Inward Foreign Direct Investment (FDI) for period (1992-2014)

Abstract

Foreign Direct Investment (FDI) has increased year after year, despite the fact that it suffers from fluctuations in its size, influenced by international economic conditions and changes. This research estimates the relationship between outward FDI from developed regions representing America, Asia, Europe and Oceania and inward FDI to emerging economies. In order to enhance the results of this study, some relevant statistical criteria such as (t) test, (f) test, (R2), etc. have been used. The results of the research show that there is a significant effect, albeit varying degrees, from explanatory variables to the dependent variable.