An Algorithm of Decomposing the Trend and Cyclical Components of FDI Inflows: the Case of Ukraine

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2020

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Sumy State University
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Abstract

The article summarizes the arguments within the scientific challenge on improving approaches to country investment potential evaluation. The main objective of the research is to systematize the existing statistical methods of decomposing macroeconomic time series into growth (trend) and cyclical components. Systematization of theoretical and methodological materials on solving the problem of decomposing the trend and cyclical components of time data series showed that the use of filtering series of economic dynamics based on the Hodrick-Prescott filter allows identifying long-term growth trends or recessions.

Keywords

синхронізація ділового циклу, синхронизация бизнес-цикла, business cycle synchronization, інвестиційний потенціал країни, инвестиционный потенциал страны, country investment potential, прямі закордонні інвестиції, прямые зарубежные инвестиции, foreign direct investment, фільтр Годріка-Прескотта, фильтр Ходрика-Прескотта, Hodrick-Prescott filter, національної економіки, Национальная экономика, national economy

Citation

Moskalenko, B. A., Mitev, P. (2020). An Algorithm of Decomposing the Trend and Cyclical Components of FDI Inflows: the Case of Ukraine. Financial Markets, Institutions and Risks, 4(3), 95-101. https://doi.org/10.21272/fmir.4(3).95-101.2020

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