The present paper argues that the effect of corruption on foreign ownership is not necessarily linear and depends on … the level of host corruption. So long as the expected returns from foreign investments exceed its expected costs, higher … host corruption will be associated with higher foreign ownership. However, costs may exceed or exactly compensate the …

We model the relationship between foreign direct investment (FDI) and the level of corruption in multinational firms …' (MCNs') home and host countries. There are two effects of corruption. The first is that host-country corruption reduces FDI … home-country environment, leads MNCs to invest more in countries with corruption levels similar to those of their home …

markets, principles of international order, and trust among the international community of states. The OECD international anti …

We analyse the effect of corruption on FDI. Using FDI outflows from a sample of East European transition economies that … the inertia of past investments. Our model separates the effects of corruption on FDI location decisions and on the amount … invested. We find a linear and negative relationship between host country corruption and the likelihood of MNCs locating in …