In this paper, we empirically re-assess the question which theoretical models and motives are most suitable to explain global patterns of foreign direct investment (FDI). Compared to previous studies, we use bilateral FDI positions with a much more comprehensive coverage of emerging and...

Geographical diversification describes the degree to which a firm’s operations in a particular industry are dispersed across countries. This paper presents evidence on the geographical diversification within the EU of the 290-odd largest manufacturing firms in Europe. We also explore how...

This paper extends the theory of multinational corporations, identifying three distinct influences of internal trade liberalisation by a group of countries on the level and pattern of inward foreign direct investment (FDI). First, the tariff-jumping motive encourages plant consolidation. Second,...

Ireland’s low corporation tax regime has proved especially attractive to foreign multinational companies operating in high-tech sectors. Ireland’s increasing concentration in such sectors has facilitated the country’s rise in the international R&D rankings. On a sector by sector basis...

Policymakers in developing countries have increasingly pinned their hopes on bilateral investment treaties (BITs) in order to improve their chances in the worldwide competition for foreign direct investment (FDI). However, the effectiveness of BITs in inducing higher FDI inflows is still open to...

This paper examines how restrictions on the tax-deductibility of interest cost affect location choices of multinational corporations (MNCs). Many countries have introduced so-called thin-capitalization rules (TCRs) to prevent MNCs from shifting tax base to countries with lower tax rates. As of...

Many studies have shown that the activities of multinational corporations are quite sensitive to differences in income tax rates across countries. In this paper I explore the interaction between multinational taxation and abatement activities under an international emissions permit trading...

Undoubtedly, poverty reduction has become a front-burner issue in development and business agenda. Since its announcement and defense by its advocates as a potent weapon against poverty, the Bottom of the Pyramid (BoP) concept has been bedeviled by controversies. A major controversy is whether...