What should the optimal financial structure of FDI inflows to Poland be for stimulating growth processes?
What should the optimal financial structure of FDI inflows to Poland be for stimulating growth processes?
Author(s): Aneta KosztowniakSubject(s): National Economy, Financial Markets
Published by: Szkoła Główna Handlowa w Warszawie
Keywords: FDI; reinvestment of earnings; equity; debt instruments; GDP; VECM;
Summary/Abstract: The article aims to answer a question what should the optimal financial structure of FDI inflows to Poland be for stimulating growth processes. The study on the dependence between financial components of FDI inflows and GDP for Poland covers the period 2004: Q1–2019: Q4. Results of the VAR/VECM model and forecast error variance decomposition indicated that in the optimal (growth-enhancing) structure of FDI inflows the share of equities and the reinvestment of earnings should be maximised.
Journal: Journal of Management and Financial Sciences
- Issue Year: 2021
- Issue No: 42
- Page Range: 25-38
- Page Count: 14
- Language: English