Sectoral Analysis of Foreign Investment and Growth In the Developed Countries
AbstractEmpirical studies on 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 Organization for Economic Cooperation and Development. Our paper is the first to identify the sector-specific impact of FDI on growth in the developed countries. Our results show that FDI might have positive or negative effect on economic growth operating 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 InfoPaper provided by University of Hawaii at Manoa, Department of Economics in its series Working Papers with number 200725.
Length: 24 pages
Date of creation: 30 Sep 2007
Date of revision:
Find related papers by JEL classification:
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
- F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-10-13 (All new papers)
- NEP-DEV-2007-10-13 (Development)
- NEP-FDG-2007-10-13 (Financial Development & Growth)
- NEP-SEA-2007-10-13 (South East Asia)
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