Tashkent, Uzbekistan
GRNTI 06.01 Общие вопросы экономических наук
GRNTI 06.03 Экономические теории
GRNTI 06.91 Экономика отдельных стран
This article aims to study the impact of foreign direct investment on the human development index in Central Asian countries. In foreign practice, there are a number of studies on this topic, however, there is still no empirical work to identify the effect of foreign investments on human development in Central Asia. Using fixed effects model, this paper finds that foreign direct investment has a positive effect on the human development index. In other words, the inflow of foreign investment contributes to human development, namely education, literacy, life expectancy and quality of life. It is worth noting that the results of this work are consistent with the theoretical framework that states that foreign investment promotes technological development, which in turn enhances human resource development, in other words, contributes to the growth of the human development index. The findings of the study have important implications for public policy towards multinational corporations and host countries.
FDI, HDI, Fixed Effects model, OLS, Central Asia
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