Essays on Sustainable Growth and Development in GCC Countries

Abstract

This article analyzes the effects of natural resources and location determinants on foreign direct investment (FDI) in the Gulf Cooperation Countries (GCC) using panel data from 2000–2022. Using oil production, oil reserves, and oil production in relation to oil reserves as a means to measure natural resources, I determine fixed effect (FE) and random effect (RE) analyses based on the Hausman test. This study concluded that oil production, and oil production relative to oil reserves discouraged FDI in GCC countries. Furthermore, the study concludes that there is a positive relationship between oil prices, infrastructure, and FDI, while human capital has no influence on FDI.