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Abstract


This paper attempts an empirical investigation of the impact of foreign direct investment (FDI) on Ghana GDP growth using impulse response function(IRF) analyses forĀ  annual time series data from 1980 to 2013; whether FDI improves or worsens GDP growth has been at the centre of literature debate over time with varying empirical evidences for developed and developing nation. The empirical results indicate that there exist a long-run stationary relationship between GDP growth and its determinant- FDI, money supply (M2) and trade balance (TB); as employed in the study.


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