While capital flows to emerging markets bring numerous benefits, they are also known to create macroeconomic imbalances (economic overheating, currency overvaluation) and increase financial vulnerabilities (domestic credit growth, bank leverage, foreign currency-denominated lending). But are all...

The paper examines the foreign direct investment (FDI) spillover effects in developing countries and investigates the importance of the absorptive capacity of a firm and a country in realizing and facilitating FDI spillover. It uses data obtained from the World Bank's Enterprise Surveys for 107...

This paper examines the foreign direct investment (FDI) spillover effects from foreign to domestic firms in Indonesia and assesses the significance of geographical factors on FDI spillover. It uses firm-level data from the Indonesian Bureau of Public Statistics (BPS) covering the period from...

Using a cross-sectional dataset of 13 manufacturing sectors in 27 Asian developing countries from 2008 to 2022, we investigated the impact of the presence of foreign firms on wages of workers from domestic firms. First, we found that the average wage of workers from foreign firms is higher than...

More than at any time in the history, climate change is having an increasingly unprecedented effect on human lives. Economies are affected severely in terms of sovereign risk due to climate change variations influencing the macroeconomy. Asian countries are highly susceptible to economic...

The primary objective of this study is to unveil the impact of FinTech through financial development, financial inclusion, and institutional quality on the inclusive growth of 25 developing countries in Asia. To serve this purpose, the Human Development Index (HDI), the dependent variable, has...

The People's Republic of China (PRC) has received enormous inflows of foreign direct investment (FDI) in recent years, including significant flows from Japan and the United States (US). We examine these investment flows in detail to gain perspectives on their relative importance for the three...

This paper investigates sources and determinants of foreign direct investment (FDI) flows to developing Asia using bilateral FDI flows for the period 1990-2005. The Triad (composed of Japan, EU, and the US) has accounted for about 35-40% of FDI inflows to developing Asia in recent years, with...

We recount East Asia's experience with foreign direct investment (FDI). We document that, contrary to the Rybczynski theorem, capital flows in the region cause the host country's labor-intensive industry to expand and its capital-intensive industry to decline. We also present narrative evidence...