Foreign Direct Investment and Trade in the Asia-Pacific Region: Complementarity, Distance and Regional Economic Integration
Abstract
This paper investigates the relationship between FDI and trade in the Asia-Pacific economies by examining the bilateral flows of trade and FDI in a cross-sectional study. The estimation results based on the gravity model show a significant and positive relationship between trade and FDI, implying a comple mentary relationship. Estimated coefficients also imply that trade has a larger impact on FDI flows than such investment has on bilateral trade flows. It is evident that the distance between the home country and the host country is a significant resistance factor for trade, but not for FDI. The estimation results.Download Info
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Bibliographic Info
Article provided by Center for Economic Integration, Sejong University in its journal Journal of Economic Integration.
Volume (Year): 15 (2000)
Issue (Month): ()
Pages: 460-485
Contact details of provider:
Web page: http://econo.sejong.ac.kr/
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Related research
Keywords: Complementarity Between FDI and Trade; APEC;Find related papers by JEL classification:
- F15 - International Economics - - Trade - - - Economic Integration
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
- O53 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Jeon, Bang Nam & Tang, Linghui & Zhu, Lei, 2012.
"Information Technology and Bilateral FDI: Theory and Evidence,"
MPRA Paper
36628, University Library of Munich, Germany.
- Jeon, Bang Nam & Tang, Linghui, 2005. "Information Technology and Bilateral FDI: Theory and Evidence," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 20, pages 613-630.
- Fragkiskos Filippaios & Marina Papanastassiou & Robert Pearce, 2003. "The evolution of US outward foreign direct investment in the pacific rim: a cross-time and country analysis," Applied Economics, Taylor and Francis Journals, vol. 35(16), pages 1779-1787.
- Bos,J.W.B. & Laar,M.,van de, 2004.
"Explaining Foreign Direct Investment in Central and Eastern Europe: an Extended Gravitiy Approach,"
Research Memoranda
041, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization.
- Jaap Bos & Mindel van de Laar, 2004. "Explaining Foreign Direct Investment in Central and Eastern Europe: an Extended Gravity Approach," DNB Working Papers 008, Netherlands Central Bank, Research Department.
- Ansari, Nasim & Khan, Tamanna, 2011. "FDI and regional economic integration in SAARC region: problems and prospects," MPRA Paper 32365, University Library of Munich, Germany.
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