DOMESTIC INVESTMENT CLIMATE AND FOREIGN DIRECT INVESTMENT IN SOUTH ASIA: A PANEL DATA EVIDENCE
Download| Volume 11 Issue 2 2018 | |
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| Author(s): |
Assad Ullah
Yang Qingxiang
Mohammad Abdul Kamal
Zahid Ali
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| Abstract | The purpose of this paper is to investigate the relation between the governance of a country and its impact on income inequality. The World Bank, Economic Freedom Network, Fraser Institute, and World Economic Forum have been defining and measuring the governance indicators. This study takes six governance indicators to score from -WWGI for the year 2000 and 156 counties data to calculate the correlation between wealth Gini and governance indicators. The statistical analysis is comprised of OLS estimation and Correlation analysis. We found a significant negative relation between governance indicators and wealth inequality, income inequality. Bad governance has a deep impact on the economy of Pakistan. Excessive debt, high fiscal deficit, high inflation, low tax to GDP ratio, high trade deficit, lack of adequate capital formation, and severe energy crisis are some of the economic challenges faces by Pakistan for decades. This study suggests that improvement in governance is not a single-day task, it cannot be achieved at once and it is not related to any department or institution. It’s a process that will establish equality, effective management of economic resources. |
| Keywords | governance, income inequality, fiscal deficit |
| Year | 2015 |
| Volume | 11 |
| Issue | 2 |
| Type | Short Report |
| Recognized by | Higher Education Commission of Pakistan, HEC | Category | "Y" | Journal Name | IBT Journal of Business Studies | Publisher Name | ILMA University | Jel Classification | - | DOI | http://dx.doi.org/10.46745/ilma.jbs.2015.11.02.12 | ISSN no (E, Electronic) | 2409-6520 | ISSN no (P, Print) | 2414-8393 | Country | Pakistan | City | Karachi | Institution Type | University | Journal Type | Open Access | Manuscript Processing | Blind Peer Reviewed | Format | Paper Link | http://ibtjbs.ilmauniversity.edu.pk/journal/jbs/11.2/12.%20Domestic%20Investment%20Climate%20&%20Foreign%20Direct%20Investment%20in%20South%20Asia%20A%20Panel%20Data%20Evidence.pdf | Page | 149-164 |