Sectoral analysis of foreign direct investment and growth in the developed countries
AbstractEmpirical studies on foreign direct investment (FDI) and growth in developed countries have yielded conflicting results using cross-country regressions. We use sectoral data for a group of six country members of the OECD. Our paper is the first to identify the sector-specific impact of FDI on growth in the developed countries. Our results show that FDI has positive, or no statistically discernible, effect on economic growth directly and through its interaction with labor. Moreover, we find the effects seem to be very different across countries and economic sectors.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of International Financial Markets, Institutions and Money.
Volume (Year): 19 (2009)
Issue (Month): 2 (April)
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Web page: http://www.elsevier.com/locate/intfin
Foreign direct investment Growth FDI;
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