Revisiting the Determinants of Investment- The Case of Tunisia

Abstract

This study aims to analyse the determinants of investment for developing countries, through the case of Tunisia, which is strongly affected by such a dynamic. Using the ARDL model on annual data for the period 1987 to 2020, we found evidence of a short- and long-term relationship between various social and economic variables and the investment. These findings have important policy implications for economic agents, politicians, and policymakers. This study is useful to identify the socioeconomic determinants of total investment in Tunisia.