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Political Instability and Inward Foreign Direct Investment: The Perspective of Government Corruption from an Emerging Economy

정치적 불안정과 외국인 직접 투자: 신흥국 정부부패의 관점

  • Received : 2021.09.10
  • Accepted : 2021.10.07
  • Published : 2021.10.31

Abstract

Pakistan is a South Asian auspicious developing country. Based on the corruption perception index report 2020 by transparency international, Pakistan has ranked 124 with total scores of 31 globally and 188 ranks with a score of -2.25 in terms of political stability ranging from 0 (lowest) to 100 (highest). More crucially, the inflow of foreign direct investment toward Pakistan has declined between 2008 and 2019. Though political instability and government corruption have both positive and negative linear relationships with foreign direct investment, we tested the moderating impact of government corruption between political instability and inward foreign direct investment over time. We also tested the relationship between political instability and inward foreign direct investment in different phases of political regimes in the same country. Our results suggested that authoritarian regimes attracted more inward foreign direct investment than that during democratic periods of government. Furthermore, we found that there was low inward foreign direct investment when government corruption was high in the country. However, government corruption weakened the positive relationship between political instability and inward foreign direct investment (FDI).

파키스탄은 남아시아의 상서로운 개발도상국이다. 국제투명성기구(Transparency International)의 2020년 부패인식지수 보고서에 따르면 파키스탄은 0(최저)에서 100(최고)까지의 정치적 안정성 측면에서 전 세계적으로 총 31점으로 124위, -2.25점으로 188위를 기록했다. 더 결정적으로, 파키스탄에 대한 외국인 직접 투자의 유입은 2008년과 2019년 사이에 감소했다. 정치적 불안정과 정부 부패는 외국인 직접 투자와 양의 선형 관계와 음의 선형 관계를 모두 가지고 있지만, 본 연구에서는 시간이 지남에 따라 정치적 불안정과 외국인 직접 투자 사이의 정부 부패의 완화된 영향을 테스트했다. 또한 같은 국가의 여러 정치 체제에서 정치적 불안정과 외국인 직접 투자 사이의 관계를 테스트했다. 따라서, 본 연구의 결과는 권위주의 정권이 민주적 정부 기간보다 더 많은 외국인 직접 투자를 유치했음을 시사하였다. 더욱이, 우리는 그 나라에서 정부의 부패가 심할 때 외국인 직접 투자가 적다는 것을 발견했다. 그러나 정부의 부패는 정치적 불안정과 외국인 직접 투자(FDI) 사이의 긍정적인 관계를 약화시켰다.

Keywords

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