Suchergebnisse

During the last few decades, governments of developing countries have increasingly viewed foreign direct investment (FDIs) as a catalyst for economic growth. This study investigates the impact of FDI on economic growth of Pakistan by using Endogenous Growth Model. Out of a number of variables affecting economic growth, few have been taken into our model e.g. Foreign Direct Investment (FDI), Domestic Savings, Employed Labour Force, Capital Formation, Human Capital Index and Balance of Trade. The study examines the causality among economic Growth and all variables mentioned above over the period 1972-2005 using Johansen.s maximum likelihood co-integration test and multivariate Granger causality test developed by Yamamoto and Toda (1995). The results of Granger causality indicated that in the short run, economic growth is caused by FDIs, domestic savings, human capital index, employed labour force and balance of trade.

Keeping a sustainable environment is always a massive challenge for oil-exporting countries, and in that situation, industrialization and rapid growth of urbanization can add fuel to the fire. We investigate the effects of industrialization and urbanization on the CO2 emissions per capita in Saudi Arabia, utilizing an annual period 1968-2014. The results show that both industrialization and urbanization impede the environment with the inelastic effect of industrialization and elastic effect of urbanization on the emissions. An asymmetry in the relationship of industrialization and emissions is also found. The increasing industrialization has larger environmental effect than decreasing industrialization. We recommend the Saudi government to design tighter urban and industrial-environmental policies to put a halt on increasing CO2 emissions.