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This paper investigates the interaction between Foreign Direct Investment (FDI) and public expenditures on economic growth, proposing a theoretical model that incorporates both factors. The authors find that excessive public spending can diminish the positive effects of FDI, particularly in developing countries, where public current expenditure exceeding 25% of GDP negatively impacts growth. The study emphasizes the need for further empirical analysis to refine the understanding of these relationships and t

Author

tuan le

Language

EN