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The Human Capital Dimension to Foreign Direct Investment : Training, Adverse Selection and Firm Location

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Author Info

  • Eicher, T-S
  • Kalaitzidakis, P

Abstract

While the theoretical literature on Foreign Direct Investment (FDI) focuses largely on movements in capital and firm specific technology, recent empirical evidence emphasizes primarily the local human capital necessary to absorb FDI technology. We examine how human capital affects FDI and add a new dimension to the trade and FDI literature : informational asymmetries.

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Bibliographic Info

Paper provided by Department of Economics at the University of Washington in its series Discussion Papers in Economics at the University of Washington with number 97-03.

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Length: 31 pages
Date of creation: 1997
Date of revision:
Handle: RePEc:fth:washer:97-03

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Web page: http://www.econ.washington.edu/
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Related research

Keywords: FOREIGN INVESTMENT ; HUMAN CAPITAL ; FORMATION ; CAPITAL MOVEMENTS ; TECHNOLOGY;

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Cited by:
  1. Cecilia Garcia-Penalosa & Campbell leith & Chol-Won Li, 2001. "Wage Inequality and the Effort Incentive Effects of Technical Progress," Working Papers 2001_14, Business School - Economics, University of Glasgow.
  2. James L. Butkiewicz & Halit Yanikkaya, 2008. "Capital Account Openness, International Trade, and Economic Growth: A Cross-Country Empirical Investigation," Emerging Markets Finance and Trade, M.E. Sharpe, Inc., vol. 44(2), pages 15-38, March.
  3. Panos Pashardes & Soteroula Hajispyrou, 2002. "Consumer Demand and Welfare under Increasing Block Pricing," University of Cyprus Working Papers in Economics 0207, University of Cyprus Department of Economics.
  4. Terutomo Ozawa & Sergio Castello, 2001. "Toward an 'International Business' Paradigm of Endogenous Growth: Multinationals and Governments as Co-Endogenisers," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 8(2), pages 211-228.
  5. Hatzipanayotou, Panos & Sajal Lahiri & Michael S.Michael, 2002. "Reforms of Environmental Policies in the presence of Cross-border Pollution and Two-stage Clean-up," Royal Economic Society Annual Conference 2002 97, Royal Economic Society.
  6. Michael Haliassos, 2002. "Stockholding: Recent Lessons from Theory and Computations," University of Cyprus Working Papers in Economics 0206, University of Cyprus Department of Economics.

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