Research on E7 country's investment environment evaluation based on principal component analysis

The article uses PEST analysis model to comprehensively evaluate the investment environment of E7 emerging market countries. This paper selects 20 relative indicators of political, economic, social and technological environment. Using panel data from 2006 to 2015, the principal component analysis method is used to extract the principal components reflecting the level of investment environment, and the seven investment environments are comprehensively scored. The results show that the investment environment of Russia and Turkey is the best, that of China, Mexico and Brazil is better, and that of Indonesia and India is relatively poor.

Emerging market economics country; investment environment; assessment indicator system; Principal component analysis

Deng Wenbo. Research on E7 country's investment environment evaluation based on principal component analysis. 2019 Asia-Pacific Forum on Economic and Social Development (APFESD 2019). 2019, Vol.2: 65-70.