Africano, Ana Paula; Magalhaes, Manuela - Faculdade de Economia, Universidade do Porto - 2005
This study investigates the relation between the stock of foreign direct investment (FDI) and the geographical pattern of trade flows in the Portuguese economy. The gravity model is applied to bilateral trade between Portugal and OECD countries plus Brazil from 1998 to 2000. The stock of inward...