Relationship between Foreign Direct Investment and Economic Growth Case Study of Nepal

  •  Xinfeng Yan    
  •  Majagaiya, Kundan Pokhrel    


This study examines the serial correlation ship between foreign direct investment and economic growth of Nepal
in terms of GDP for the period of 1983-2007.This study has been carried out with log and non log - values using
Durbin-Watson Test and Cochrance-Orcutt method. The result shows that even though marginal effect seems to
be because of presence of auto-correlation, without presence of auto-correlation FDI does not adequately
describe the GDP.

This work is licensed under a Creative Commons Attribution 4.0 License.