Foreign Direct Investment And Civil Liberties: A New Perspective

Topics:
Foreign Direct Investment
Tags:
Currency & Foreign Exchange,
Finance,
Foreign Direct Investment,
Foreign Direct Investment (FDI),
Investment,
Liberty
Source:
Athens University of Economics and Business

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Overview: This paper blends the political economy and the International Business FDI (Foreign Direct Investment) literature and examines the relationship between FDI and democracy. Even though the usual conjecture that civil and political repression boosts FDI in developing countries has been widely refuted in empirical studies, support of this view is found. Paper distinguishes between civil and political liberties that a regime delivers and it argues that multinational firms tend to invest in countries with low civil but with high political liberties. Empirical results, for US FDI, provide strong support the above distinction.

(Is this item miscategorized? Does it need more tags? Let us know.)

Format: PDF | Size: 192KB | Date: Aug 2004 | Pages: 31

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