Does international financial integration boost economic growth? The question has been discussed controversially for a long time. As of yet, robust evidence for a positive impact is lacking (Edison et al., 2002). However, there is substantial narrative evidence from economic history that...

In this paper I explore the role of portfolio diversification in explaining the distribution of foreign investment across countries. I capture the portfolio diversification motive by a measure of country-specific riskiness, “covariance risk,” which I construct as how countries' growth rates...

This paper attempts to apply the intangible assets approach to the emerging multinational enterprises of Korea. More specifically, it tries to empirically analyze whether Korean firms investing in foreign markets possess more advanced intangible assets than those investing only in the domestic...

This study investigates: (i) the effect of foreign direct investment (FDI) on total factor productivity (TFP) and economic growth dynamics, and (ii) the relevance of value added from three economic sectors in modulating the established effect of FDI on TFP and economic growth dynamics. The...

No longer do the highest economic growth rates belong exclusively to the BRICS countries. Lesser known economies, the so-called frontier markets such as Nigeria and Vietnam, are key players in global economic growth and are expected to continue to be so for several decades. These states base...

The emergence of frontier markets is consolidating South-South relations and speeding up the global economic re-balance. Below, Tomás Guerrero describes how, to ensure long-term growth, driven by the combination of abundant natural resources and low labor costs, this set of countries have begun...

This paper examines the effects of natural disasters on FDI, considering the case of India. Our analysis evidences persistent investment reductions in affected regions following a disaster as well as lasting positive investment spillovers into unaffected Indian regions. We show that these...

This article remarks that the activities of the international capital flows and the foreign direct investment increase, influence the growth process of countries. The economies attach more importance to these two factors in each passing day. On the other hand, the exposure degrees of host...