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.
© 2004 Melina Dritsaki, Chaido Dritsaki and Antonios Adamopoulos. This is an open access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.