FDI and Economic Growth: A Case Study From China and Africa

This paper investigates the long-debated relationship between FDI and economic growth. I use a Solow model framework to analyze this relationship. Further, I use OLS regression analysis to analyze this relationship, specifically between China and Africa. The Chinese-African trade relationship has become dynamic and expansive. I come to the conclusion that FDI doesn’t have a significant effect on economic growth in this case, and further conclude that trade relationships and policy are more important for economic growth, and can aid in determining the future value of an economic structure