Open AccessDoes foreign portfolio investment improve the economic growth of Jordan?
Author(s) -
Huthaifa Al-karasneh,
Ashraf Bataineh,
Osama Hayajneh,
Omar Khodirat
Publication year - 2021
Publication title -
accounting
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.175
H-Index - 5
eISSN - 2369-7407
pISSN - 2369-7393
DOI - 10.5267/j.ac.2021.5.003
Subject(s) - portfolio , foreign direct investment , term (time) , economics , portfolio investment , econometrics , error correction model , investment (military) , monetary economics , macroeconomics , cointegration , financial economics , political science , physics , quantum mechanics , politics , law
This paper aims to examine the impact of short and long-term active Foreign Portfolio Investments (FPI) on Jordan Economic Growth (EG) thru (1996-2017) by employing some econometric methods like ARDL and Error Correction Models to reach the study results. Findings reveal that FPI have a long-term statistical positive impact on EG at level (5%) and also have a short-term negative impact on EG at level (5%), where EG needs about ten years to reach a full adjustment.