Dreher, Axel; Mikosch, Heiner; Voigt, Stefan - 2010
We argue that membership in International Organizations (IOs) is an important determinant of FDI inflows. To the extent … that membership restricts a country from pursuing policies that are harmful to investors, it can signal low political risk …. Using data over the 1971-2005 period, we find that membership in IOs does indeed increase inflows of FDI. Controlling for …