Economic Growth, Foreign Investor Sentiment, and Uncertainty: Evidence from Asia

Faculty Sponsor: Abigail Hornstein

Mia Kurta

Mia Kurta is a rising junior from Port Washington, New York. She attended Schreiber High School and, at Wesleyan, is double majoring in Economics and Physics with a minor in Informatics and Modeling. In her spare time, she enjoys teaching physics, dancing, and music.

Abstract: The study of foreign direct investment (FDI), its determinants, and its effects on economic productivity and growth is a wide and diverse subset of economic research. This study uses FDI as a method by which to proxy investor sentiment regarding a host country ex ante. Three separate measurements of FDI in a given year—promised, actual, and a ratio describing the investor’s commitment—are employed to study their effects on economic growth. Measurements of economic uncertainty are also included, which have been previously found to influence both FDI practices and economic growth. Overall, this study aims to isolate determinants of economic growth from both sentiment and uncertainty variables.

Mias-poster.pptx