An Empirical Study On The Impact Of Foreign Direct Investment On Total Factor Productivity Growth In Sierra Leone

Although the research of the foreign direct investment(FDI)impact on the development of value proposition in the home Economy of the ancient index went on to grow,there has been growing interest in these issues shortly.Although more details might be needed for this refining of the study,the economic development of the governments of East and Southeast Asia,on the one hand,is one of the most important.Many of the proposals suggest the governments that have enticed and profited through FDI at the time of the submission financial transition.In this theory,productivity growth from innovations in the host economy arises in many ways,for example,turnover which leads to the development of a ready-made job by remote business to neighboring businesses,training/observing/demonstration,and communication through the supply of inputs.In the context of this technological constraint,the economic viability of the host should be considered in terms of its size should be identified by several components of quality,out of the total factor productivity(TFP)units.At first,using a time series of 1990-2018 results,just like the usual methods,for example by testing the roots of the ADF and PP-Fisher units with the JJ co-integration test on single integration,on while conditioning their use in the study has been shown to combine it with a similar(e.g.I(1))and co-integrated(indicating long-term relationships)application.The total factor productivity(TFP)using the VECM method showed that all of the materials used in the study had positive and structural effects as well as inflammation on TFP development in Sierra Leone with very high FDI.In particular,the positive effect of FDI,which is a key variable for TFPs,does not inform the diffusion of innovation through the adoption and regulation of the new speed.To explore the root cause of the causality we used,Granger causality test through VECM model proposed a one-way connection from the past through for FDI,TR,FD,for the development of the TFP but now,a bilateral factor only between the FDI(main variable of concentration)and the TFP indicates short-term and long-lasting improvements changes in FDI,affecting the development of TFP in Sierra Leone versus ceteris parabus.Finally,to guarantee the TFP response against FDI,the impulse response function(IRF)for the growth of the general economy of Sierra Leone was analyzed due to the resistance of foreign investments.Relying on the above findings that are aligned with the research goals,this study proposes,to continue to attract high quality and technologically intensive FDI.It should be noted,at least,not so much FDI but the kind of FDI involved exercises the level of efficiency overlay that determines the quality and management capacity of the FDI-profit development relationship.Sierra Leone seeks to gain total efficiency through the overflow impact of direct external competitiveness,as it is an operational process to boost technological development.In this way,Sierra Leone might support outside profit-making organizations through professional management and training to develop the positive external and overflow benefits of FDI at the corporate level.