Browse

The purpose of this study is to investigate the causal relationship between foreign direct investment in tourism and total foreign direct investment in Croatia. The study employs econometric techniques such as unit root test, Johansen co-integration and Granger and Toda-Yamamoto causality tests in vector autoregressive model (VAR) using quarterly time series data from 2000 to 2012. The results do not confirm the existence of a stable co-integrated relationship between variables in the long run. The Granger causali...