A non-monotonic Relationship between FDI and Trade

This paper presents a non-monotonic relationship between foreign direct investment and trade based on the idea that, although FDI eliminates trade costs on the final good, the investing firm has to bear increased trade costs on an intermediate good.

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Year of publication:	2006
Authors:	Pontes, José Pedro
Publisher:	Dresden : Technische Universität Dresden, Fakultät Wirtschaftswissenschaften
Subject:	Direktinvestition \| Betrieblicher Standort \| Außenwirtschaft \| Theorie \| Foreign Direct Investment \| Trade \| Theory of Location

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Series:	Dresden Discussion Paper Series in Economics ; 05/06
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Working Paper
Language:	English
Other identifiers:	518825086 [GVK] hdl:10419/22732 [Handle] RePEc:zbw:tuddps:0506 [RePEc]
Classification:	L12 - Monopoly; Monopolization Strategies ; R3 - Real Estate Markets, Spatial Production Analysis, and Firm Location ; F23 - Multinational Firms; International Business
Source:	EconStor

Persistent link: https://www.econbiz.de/10010296803