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Trade, FDI, Growth and Poverty in Bolivia

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Author Info
Lykke E. Andersen () (Institute for Advanced Development Studies)
Osvaldo Nina () (Grupo Integral)
Dirk Willem te Velde (Overseas Development Institute)

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Abstract

After several decades of “state-capitalism” characterized by import substitution policies, Bolivia implemented in 1985 a New Economic Policy (NEP) following neo-liberal ideas of free trade, privatization, and liberalization of capital flows. It was hoped that the opening up of the economy would attract foreign direct investment (FDI) which in turn would help modernize Bolivian industry, improve productivity, increase exports, stimulate growth, and reduce poverty. This paper investigates to what extent this actually happened

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Publisher Info
Paper provided by Institute for Advanced Development Studies in its series Development Research Working Paper Series with number 03/2004.

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Length: 22 pages
Date of creation: Jul 2004
Date of revision:
Handle: RePEc:adv:wpaper:200403

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Related research
Keywords: Trade; Foreign Direct Investment; Poverty; Inequality; Bolivia;

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Find related papers by JEL classification:
F16 - International Economics - - Trade - - - Trade and Labor Market Interactions

References listed on IDEAS
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  1. Sebnem Kalemli-Ozcan & Laura Alfaro & Selin Sayek & Areendam Chanda, 2002. "FDI and Economic Growth: The Role of Local Financial Markets," Macroeconomics 0212007, EconWPA. [Downloadable!]
    Other versions:
  2. Lykke E. Andersen & José Luis Evia, 2003. "The Effectiveness of Foreign Aid in Bolivia," Development Research Working Paper Series 01/2003, Institute for Advanced Development Studies. [Downloadable!]
  3. Barry P. Bosworth & Susan M. Collins, 1999. "Capital Flows to Developing Economies: Implications for Saving and Investment," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 30(1999-1), pages 143-180. [Downloadable!]
  4. Borensztein, E. & De Gregorio, J. & Lee, J-W., 1998. "How does foreign direct investment affect economic growth?1," Journal of International Economics, Elsevier, vol. 45(1), pages 115-135, June. [Downloadable!] (restricted)
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