Jungnickel, Rolf; Borrmann, Christine; Keller, Dietmar - HWWA Institut für Wirtschaftsforschung - 2005
The tradition of gravity models is in the analysis of trade flows with market size and geographic or economic distance as core variables. Both these variables can be important determinants of FDI, too. However, when such models are used to explain FDI, there can be differences in the mode of...