This paper uses a composite measure to examine why some countries attract more foreign direct investment (FDI) than others. The measure considers all identified, measurable, and comparable socioeconomic aspects that affect FDI decisions on an aggregated country level. As a result, we can rank...

In an integrated world, no country is free from a possible downturn in business cycles, which entails fluctuations of export growth. However, FDI seems to stabilize exports during the crisis while reaping its own benefits in all times.With recent data from OECD countries, our new approach...

China has become one of the leading recipients of foreign direct investment (FDI). Meanwhile, an increasing share of global FDI is going to many Central and Eastern European countries (CEECs). What is the relationship between the inward FDI of China and the CEECs? We conceptualize the...

This paper analyzes the effects of foreign direct investment on the economic growth of developing countries. The study uses annual data on a group of 85 developing countries covering Asia, Africa, and Latin America and the Caribbean for the period 1980-2007. We explore the hypothesis that...

Using panel data from 1981 to 2005, this paper examines the Granger causality relations among GDP, exports and FDI ill the three first generation Asian newly industrializing economies (ANIEs): Korea. Taiwan, Singapore, and in the four second generation ANIEs: Malaysia, Philippines and Thailand,...

Using time-series and panel data from 1986 to 2004, this paper examines the Granger causality relations between GDP, exports, and FDI among China, Korea, Taiwan, Hong Kong, Singapore, Malaysia, Philippines, and Thailand, the eight rapidly developing East and Southeast Asian economies. After...

This paper constructs a model to examine the impact of foreign firms on a developing Country's own accumulation of entrepreneurial knowledge. In the model, entrepreneurial skills are built up on the basis of productive ideas that diffuse internally (at the inside of firms) and externally...

This study examines the causal nexus among Export, Economic Growth and Foreign Direct Investment (FDI) in India using the autoregressive distributed lag (ARDL) cointegration procedure on monthly data over the period 1992 to 2008. The stability of the short-run as well as long-run coefficients in...

The contentious role that foreign direct investment (FDI) plays in the development of an economy has been under much scrutiny since the Asian crisis of 1997. While one school of thought strongly believes that FDI has a positive relationship with the creation of jobs and dissemination of skills...

We propose a multi-country dynamic general equilibrium model to quantify the implications of trade and FDI liberalizations for the surge of global trade and current account (CA) imbalances. We calibrate our model to replicate the evolution of bilateral trade and FDI flows across 5 major...