Volume 17, No. 3, 2020

The Effect Of Foreign Investment On The Iraqi National Income

Waleed Ahmed Hassen


The aim of research is to explore the direct foreign investment in the long and short terms, so the reserach included data series in the time period (1980-2019), and co-integration test Granger causality and error correction vector being utilized to display the direction of the relation between the study variables and the relation nature of balance in the term long or short and it is noted that there is a relation of a one-way causation. As transmission is achieved via a long-term from foreign direct investment to the economic growth. A probable explanation being belonged to the drop in oil prices, as Iraq based directly and mainly on oil exports in its economy, as well as because of the rampant administrative corruption in the country, that is expanded its effects on all sectors.

Pages: 93-103

Keywords: direct foreign investment, national income, ,vector error correction.

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