It is difficult to attract foreign direct investment (FDI) into western China. This situation might not be explained by traditional geographical factors, because the gap of FDI inflow between the western and the eastern regions of China has increased. This paper attempts to explain the situation...

The relative difficulty of attracting foreign direct investment (FDI) to western China is often attributed to geography. However, this explanation becomes less tenable as the gap between FDI stocks in western and eastern China increases. This paper attempts to explain the situation from an...