Kazunobu, HAYAKAWA; Toshiyuki, MATSUURA - Research Institute of Economy, Trade and Industry (RIETI) - 2011
This paper attempts to clarify the reasons for the rapid growth of FDI in developing countries, particularly East Asian countries, compared with that of FDI to developed countries. To do this, we will examine the mechanics of HFDI and VFDI with shedding light on the role of trade costs. Our...