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مجلة جامعة لحج للعلوم التطبيقية والإنسانية
University of Lahej Journal of Applied Sciences and Humanities

Using the Simple Linear Regression Method to Study the Relationship between the Rate of Foreign Direct Investment and the Unemployment Rate in the Republic of Yemen During the Period 1990-2020Using the Simple Linear Regression Method to Study the Relation

Fatima AL-Samadi
Abyan University
تنزيل الملف (العربية)

Abstract

This study aimed to investigate the development of the rate of foreign direct investment and the unemployment rate in the Republic of Yemen during the period (1990-2020). Through descriptive analysis and using the simple linear regression model, in addition to revealing the problems of the simple linear regression model represented by the problem of autocorrelation, the problem of (heteroscedasticity) variance stability, and the problem of non-normal distribution of errors, and methods of addressing them. The results of the study showed the existence of a medium correlation between the rate of foreign direct investment and the unemployment rate in the Republic of Yemen during the period (1990-2020), with the (explanatory power) interpretability of the model reached (82%) and was high and also statistically significant at a significance level of 0.05. The rate of foreign direct investment also has an impact of (68%), while the remaining (32%) is due to other factors not included in the model. There are also inverse and significant differences in the rate of foreign direct investment on the unemployment rate. Furthermore, the estimated simple linear regression model was free from standard problems represented by the problem of autocorrelation and the problem of non-constancy of variance, and normal distribution. A real model free from standard problems with statistical significance was obtained.

Details

مجلات جامعة لحج للعلوم التطبيقية والإنسانية
Section Applied Sciences
Published 21-12-2025
Pages 226-239
Keywords
Foreign direct investment, simple line regression, standard problems and methods of solving them, unemployment, unit root test for stability
Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

How to Cite

Fatima Mohammed Ali AL-Samadi. (2025). Using the Simple Linear Regression Method to Study the Relationship between the Rate of Foreign Direct Investment and the Unemployment Rate in the Republic of Yemen During the Period 1990-2020Using the Simple Linear Regression Method to Study the Relation. University of Lahej Journal of Applied Sciences and Humanities, 1(2), 226–239. Retrieved from https://ojs.malozaibi.com/uljash/article/view/50

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