Abstract:
This study is conducted to find the impact of FDI on economic growth and
unemployment reduction in Pakistan. It consists of dependent and independent
variables which are economic growth and unemployment reduction against FDI. It
aims to find that whether the independent variable do or do not impact the dependent
variables or have significant impact or not. In this study data for a period of 29 years
i.e. from 1982-2012 has been analyzed through regression to find the authenticity,
comprehensives and conclusiveness. Also hypothesis was formulated to find the
impact. The results were obtained using the SPSS Software which shows that FDI
does impact the economic growth and unemployment reduction in Pakistan up to a
specified limit and holds a significant impact over the two dependent variables.