Munich Personal RePEc Archive

The Impact of Domestic Investment on Economic Growth: New Policy Analysis from Algeria

Bakari, Sayef (2017): The Impact of Domestic Investment on Economic Growth: New Policy Analysis from Algeria.

[img]
Preview
PDF
MPRA_paper_80053.pdf

Download (402kB) | Preview

Abstract

This paper investigates the relationship between domestic investment and economic growth in Algeria, by using co integration analysis of Vector Error Correction Model. The equation of the long run relationship shows that domestic investment has a negative effect on economic growth. However, in the short run term, domestic investment causes economic growth. These results prove that domestic investment is a source of economic growth for Algeria, but unfortunately it suffers from several obstacles and problems that are directly related to the poor management and the weak strategy for development and investment.

UB_LMU-Logo
MPRA is a RePEc service hosted by
the Munich University Library in Germany.