Nexus of GDP, FDI, Inflation, Exchange Rate, Renewable Energy, Trade Openness, and Open Innovation in Singapore: New evidence from the ARDL method

This study explores the intricate nexus between gross domestic product (GDP), inflation (INF), exchange rate (EXC), renewable energy (REN), foreign direct investment (FDI), trade openness (TO), and open innovation (OI) in Singapore using the autoregressive distributed lag (ARDL) method. Drawing on annual data from 1990 to 2022, the study investigates these variables' short- and long-run dynamics, providing new empirical evidence on their interrelationships. The findings indicate that REN and TO positively influence GDP growth, while INF and EXC volatility have adverse effects. Moreover, FDI and open innovation emerge as critical drivers of sustainable economic growth, showcasing Singapore's strategic policy framework. The study provides significant policy implications, emphasizing the need to foster innovation ecosystems and REN investments while ensuring macroeconomic stability to enhance sustainable growth. This study also explores the intricate nexus between GDP, FDI, INF, EXC, REN, TO, and open innovation in Singapore using the ARDL method. The study investigates these variables' short- and long-run dynamics, providing new empirical evidence on their interrelationships. The findings indicate that REN and TO positively influence GDP growth, while INF and EXC volatility have adverse effects. Moreover, FDI and open innovation emerge as critical drivers of sustainable economic growth, showcasing Singapore's strategic policy framework. The study provides significant policy implications, emphasizing the need to foster innovation ecosystems and REN investments while ensuring macroeconomic stability to enhance sustainable growth.