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Economic growth is deemed to be a conducive factor in attracting foreign direct investment (FDI) as it often confers location advantage to host countries and fosters business confidence. This paper examines the short-run and the long-run effects of economic growth on FDI inflows. The empirical analysis is conducted through the Generalized Method of Moments (GMM) System estimator for dynamic panel models. The main results show significant positive effects of economic growth on FDI inflows, and they indicate that the magnitudes of these effects are statistically comparable over time and do not diminish with higher economic growth levels. They also reveal important variations in the magnitude of these effects across geo-economic regions and over pertinent economic variables such as economic development level, international trade and foreign investment openness, and endowment in natural resources. These findings underscore the significance of developing growth-enhancing policies that are designed on the basis of the economic and geo-economic characteristics of host countries. Such policies could be coupled with international trade and foreign investment openness directions to stimulate stronger responses of FDI inflows to economic growth and mitigate the implications of unfavorable global and regional political conditions. [ABSTRACT FROM AUTHOR]

The Arab Spring (AS) marked an unprecedented event in the Middle East and North Africa (MENA) region, and it generated political and economic uncertainties and triggered violent conflicts and political rifts. This paper empirically examines the short-run and long-run effects of the AS on foreign direct investment (FDI) inflows to the MENA region and to individual MENA countries. The empirical analysis is implemented through the generalized method of moments (GMM) estimator for dynamic panel models, using different empirical specifications. The benchmark results show that the AS has led to important reductions in FDI inflows to the MENA region. A more detailed empirical analysis reveals significant variations in the AS effects on FDI inflows across MENA countries and it underscores distinct patterns over different time periods. These findings imply that governments in the MENA region are required to maintain political stability, and to adopt distinctive policies that lessen the adverse implications of the AS and that set favorable conditions for FDI inflows in the post-COVID-19 pandemic era. [ABSTRACT FROM AUTHOR]

To authenticate to the full-text of this article, please visit this link: http://dx.doi.org/10.1111/j.1744-7976.2010.01187.x Byline: Pascal L. Ghazalian (1), Bruno Larue (2), Gale E. West (3) Abstract: Agricultural activities simultaneously produce good and bad outputs. A translog cost function is used to evaluate the cost associated with reduction of chemical runoff and how it is influenced by the scale of crop and animal production. The results show that reducing runoff entails increasing costs and that these costs decrease with the level of crop production, but are unaffected by the level of animal production. The estimates of the cost elasticities of Best Management Practices (BMPs) were all positive, but many have large standard errors that imply that the true elasticities can be much lower or much higher. Also, the cost elasticities decrease with the scale of crop production for most BMPs whereas the scale of animal production has the opposite effect for crop rotation and herbicide control practices. Our results reaffirm that there are economies of size in production. L'agriculture produit de bons et de mauvais extrants. Une fonction de cout translog est utilisee pour evaluer les couts associes a l'amelioration de la qualite de l'eau en reduisant les problemes de ruissellement et de transfert de nutriments. Nous evaluons comment ces couts changent avec les niveaux des productions animales et de cultures. Nos resultats indiquent que la reduction des transferts de nutriments est couteux mais que l'elasticite-cout decroit avec la valeur des cultures produites tout en etant independant de l'envergure de la production animale. Les elasticites-cout associes aux pratiques environnementales (PE) sont positives et ont de grandes erreur-types, ce qui veut dire que les vraies elasticites peuvent etre beaucoup plus grandes ou plus petites. Les elasticites-cout pour la plupart des PE diminuent avec la production de cultures produit tandis que la taille de la production animale a un effet contraire sur les elasticites pour la rotation de cultures et le controle des herbicides. Nos resultats confirment qu'il existe d'importantes economies de taille a exploiter en agriculture. Author Affiliation: (1)Assistant Professor, Department of Economics, University of Lethbridge, C-582, U-Hall, 4401 University Drive West, Lethbridge, Alberta, T1K 3M4, Canada (corresponding author: phone: 403-329-2514; fax: 403-329-2519; e-mail:pascal.ghazalian@uleth.ca). (2)Professor and Canada Research Chair in International Agri-Food Trade, Center for Research on the Economics of Agri-Food (CREA), Laval University, 2425 Rue De L'Agriculture, Room 4417, Pavillon Paul-Comtois, Quebec, Quebec, G1V 0A6 (phone: 418-656-2131, ext. 5098; fax: 418-656-7821; e-mail :Bruno.Larue@eac.ulaval.ca). (3)Professor, Center for Research on the Economics of Agri-Food (CREA), Laval University, 2425 Rue De L'Agriculture, Room 4421, Pavillon Paul-Comtois, Sainte-Foy, Quebec, G1V 0A6 (phone: 418-656-2131, ext. 3755; fax: 418-656-7821; e-mail:Gale.West@eac.ulaval.ca).

The escalated violent conflicts and political upheavals in many developing countries have emphasized the pertinence of examining the multifaceted nature of conflict, and the various strategies that bring about reasonable degrees of peace. This paper examines the effects of national economic and socio-economic factors on national peace level, and on the corresponding elementary indicators. The empirical analysis is implemented through a panel dataset, using different econometric methodologies. The basic results underline that countries characterized by higher economic development levels, open trade systems, more educated population, and democratic systems rest on higher national peace levels. Meanwhile, countries that experience higher levels of income inequality and that are endowed with natural resources tend to be less peaceful. Also, the positive impacts of international alliances/regional blocs on national peace are mainly expressed through their promoting economic effects rather than through their aggression-deterrence properties. The empirical analysis shows that the effects of national economic and socio-economic factors on the elementary indicators exhibit considerable variations in magnitude and significance. Hence, an exclusive examination of the effects of these variables on the overall peace index would conceal significant differences across the elementary indicators, which should be accounted for when analyzing national peace and developing peace-promoting strategies. [ABSTRACT FROM AUTHOR]

This paper examines the magnitudes of border effects on Canada's beef exports, and assesses the prospects for market access. The empirical analysis relies on a gravity model derived from a supply‐based framework, and implements different econometric methodologies. It covers the conventional measurement of border effects that is determined relative to the intranational trade baseline. Also, it sets alternative baselines to estimate the wedge between the border effects on beef exports of Canada and those of other countries. The estimated parameters are used to carry out different scenarios to examine the tariff‐related and nontariff border effects, and to evaluate the impacts of trade preferences for Canada's bilateral beef exports. The results reveal significant trade impediments facing Canada's bilateral beef exports to many large markets (e.g., EU‐15, Japan, Republic of Korea, China, and Russia), and they often indicate that the effects of tariff reductions become considerably larger when coupled with reductions in nontariff impediments. Also, they underscore the significance of North American Free Trade Agreement (NAFTA)'s preferential market access for Canada's beef exports. The export opportunities for the Canadian beef industry that are generated through lower trade barriers would, however, decrease when trade barriers facing other beef‐exporting countries are reduced. [ABSTRACT FROM AUTHOR]

There is a regular emphasis on the significant role of inward Foreign Direct Investment (FDI) in promoting economic growth. This favourable relationship has induced many governments to adopt policies intended to increase FDI inflows and, thereby, to create conducive business and economic conditions for Multinational Enterprises (MNEs). This paper examines the effects of Economic Freedom (EF) and its sub-components reflecting the Quality of Institutions (QIs) on FDI inflows, using indices derived from the Fraser Institute and from the Heritage Foundation. The empirical analysis is carried out for a panel dataset using different econometric methodologies and empirical specifications. The results underline positive effects of EF on FDI inflows. They reveal that EF sub-components have varying impacts on FDI inflows, where rule of law, market openness, and less-restrictive regulatory environment stand out as the major FDI-promoting institutional factors. Also, there is an empirical evidence that the effects of EF sub-components on FDI inflows exhibit variations through the economic characteristics of the host countries and across geo-economic regions. The results suggest that governments should pursue EF-improving policies, which should be tailored according to the economic and geo-economic characteristics of the host countries, to increase FDI inflows. [ABSTRACT FROM AUTHOR]

This paper examines the effects of the North American Free Trade Agreement (NAFTA) and its predecessor, the Canada-United States Free Trade Agreement (CUSFTA), on agricultural trade flows at disaggregated product categories. The empirical analysis is implemented through gravity models using different econometric methods. It accounts for the baseline NAFTA/CUSFTA-unrelated magnitudes of trade between member countries throughout the assessment of the NAFTA/CUSFTA trade effects. The benchmark estimates show considerable differences across agricultural product categories. The net post-NAFTA/CUSFTA magnitudes of trade between member countries are found to be markedly low in some cases, underlining missed regional trade opportunities. The empirical analysis proceeds to estimate the NAFTA/CUSFTA trade effects by time period and by bilateral trading partnership, revealing important variations. Cet article examine les effets de l'Accord de Libre-Échange Nord-Américain (ALÉNA) et de son prédécesseur, l'Accord de Libre-Échange entre le Canada et les États-Unis (ALÉCÉU), sur les flux commerciaux agricoles au niveau des catégories ventilées. L'analyse empirique est mise en œuvre grâce à des modèles de gravité en utilisant une variété de méthodes économétriques. Elle compte pour la ligne de base des magnitudes non-reliées à l'ALÉNA/ALÉCÉU du commerce entre les pays membres à travers l′évaluation des effets de l'ALÉNA/ALÉCÉU sur le commerce. Les estimations de référence montrent des différences considérables entre les catégories de produits agricoles. Les magnitudes post-ALÉNA/ALÉCÉU nettes du commerce entre les pays membres se trouvent d′être considérablement faibles dans certains cas. Ces résultats soulignent des opportunités commerciales régionales manquées. L'analyse empirique procède à estimer les effets de l'ALÉNA/ALÉCÉU sur le commerce par période et par partenariat commercial bilatéral, et elle montre des variations importantes. [ABSTRACT FROM AUTHOR]

We examine the implications of the liberalised economic conditions associated with the economic transformations in the transition countries of Central and Eastern Europe ( CEE) and Commonwealth of Independent States ( CIS) for R&D and innovation in the food processing sector. We use a dataset derived from the World Bank's Business Environment and Enterprise Performance Surveys ( BEEPS) database to examine the relationships between R&D/innovation activities in food processing firms in transition countries and (i) privatisation, (ii) foreign direct investment, (iii) trade activities, (iv) market competition pressure, and (v) economies of scale. The empirical analysis is implemented through: (i) a double-hurdle model for R&D participation and expenditures, and (ii) a bivariate probit model for product and process innovation. We find that these economic transformations generally promote R&D/innovation activities in the food processing sector. Our results suggest that broadened and deepened economic liberalisation policies would improve the innovation performance of the food processing sector in transition countries, and would enhance competitiveness in domestic and foreign markets. They also indicate that innovation policies may need to be tailored to market and industrial characteristics of different transition regions. [ABSTRACT FROM AUTHOR]