FDI, Financial Development and Economic Growth: Evidence from Select Indian States-Reference-Cited by-同舟云学术

FDI, Financial Development and Economic Growth: Evidence from Select Indian States

Published:2024-09-04 Issue: Volume: Page:
ISSN:0019-4662
Container-title:The Indian Economic Journal
language:en
Short-container-title:The Indian Economic Journal

Author:

Sahoo Swarnamanjari¹^ORCID

Affiliation:

1. School of Economics, University of Hyderabad, Telangana, India

Abstract

This article examines the foreign direct investment (FDI)-growth nexus by controlling for the level of financial development in a panel of six individual states of India from 2001 to 2018. By using pooled mean group estimation technique, the study finds that financial development encourages economic growth while FDI has a negative impact on output growth in the long run. However, a higher level of financial development allows states to benefit more from FDI, suggesting that financial development helps in enhancing the FDI impact on output growth. JEL Codes: E20, F21, F10

Publisher

SAGE Publications

Link

https://journals.sagepub.com/doi/pdf/10.1177/00194662241265488

Reference28 articles.

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