Does human capital constrain the impact of foreign direct investment and remittances on economic growth in Ghana?

C-Tier
Journal: Applied Economics
Year: 2013
Volume: 45
Issue: 19
Pages: 2853-2862

Score contribution per author:

1.005 = (α=2.01 / 1 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This article empirically investigates whether human capital constrains the impact of Foreign Direct Investment (FDI) and remittances on economic growth in Ghana. An economic growth model for Ghana is specified and estimated using Fully Modified Ordinary Least Squares (FMOLS) estimator and employing annual data spanning the period 1965 to 2008. Empirical results indicate that FDI and remittances are key determinants of economic growth in Ghana. Results indicate that human capital enhances the impact of FDI and remittances on economic growth. Although both government expenditure and trade openness are growth-enhancing, government expenditure appears to crowd-out private investment. Empirical results also indicate that domestic inflationary pressures, unstable political environment and volatile global economy exert a negative impact on economic growth in Ghana.

Technical Details

RePEc Handle
repec:taf:applec:v:45:y:2013:i:19:p:2853-2862
Journal Field
General
Author Count
1
Added to Database
2026-01-24