A Causal Relationship between Trade, Foreign Direct Investment and Economic Growth in Greece
Melina Dritsaki, Chaido Dritsaki and Antonios Adamopoulos
DOI : 10.3844/ajassp.2004.230.235
American Journal of Applied Sciences
Volume 1, Issue 3
This study investigates the relationship between Trade, Foreign Direct Investment (FDI) and economic growth in Greece over the period 1960-2002. The cointegration analysis suggested that there is a long-run equilibrium relationship. The results of the Granger causality test showed that there is a causal relationship between the examined variables. Economic growth, trade and FDI appear to be mutually reinforcing under the open-door policy.
Cite this Article
Dritsaki, M., C. Dritsaki and A. Adamopoulos, 2004. A Causal Relationship between Trade, Foreign Direct Investment and Economic Growth in Greece. Am. J. Applied Sci., 1: 230-235.