Foreign direct investment (FDI) has grown dramatically as a major form of international capital transfer over the past decades. This rapid growth in cross border investment has to a large partbeen due to the reduction in trade and investment barriers, the harmonization and mutual recognition of...

Foreign direct investment (FDI) has grown dramatically as a major form of international capital transfer over the past decades. The unprecedented growth of cross-country FDI flows has been attributed to a rich set of economic, geographical and institutional factors. In this paper we examine the...