In this paper, we study the impacts of bilateral investment treaties (BITs) between the EU countries and China on EU home investments. We consider BITs as "treatments" that provide further access to global value chains (GVCs). We identify the causal impacts of the BITs on the relationship...

In the globalized world economy the crucial issue is locational competition - where internationally competitive firms invest and locate their high value-added production. The policy challenge is to enhance firms' capabilities to create firm-specific competitive advantages linked to certain...