Impact of some economic variables in attracting foreign direct investment (Jordan as a Model) An analytical study for the period of 1990-2015

Abstract

This study aims to identify the investment climate and its significance in the Jordanian economy in addition to the impact of economic variables (degree of trade openness, government budget deficit, and rate of inflation) inflow foreign direct investment to Jordan during the period of study (1990-2015). This study uses analytical descriptive approach in order to present the investment concepts along with the investment climate in the Jordanian economy. Furthermore, it uses quantitative analysis tools to measure the statistical relationship between the study variables. The study found that there is a negative relationship between the government budget deficit and foreign direct investment. However, there is statistically a significant positive relationship between the degree of trade openness and foreign direct investment. Based on the results, the study presented conclusions and a set of suggestions.