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 in developed countries. To do this, we will examine the mechanics of HFDI and VFDI with a view toward shedding light on the role of trade...

The phenomenon of fast-growing business activities of multinational corporations around the world has generated much interest in understanding its implications for the development of the world economy as well as the relationships among national economies. By analyzing the worlds top 2000 firms...