Relative Factor Abundance and FDI Factor Intensity in Developed Countries
Abstract
This study looks at the link between the patterns of trade-revealed comparative advantage and net inward foreign direct investment in five developed countries: France, Italy, Japan, the United Kingdom, and the United States. Despite assertions that market access is the primary motive for foreign direct investment flows among developed countries, the study confirms an earlier study which found a significant role of comparative advantage in determining inflows of foreign direct investment in developed countries, especially in the services industry.Download Info
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Paper provided by Melbourne Institute of Applied Economic and Social Research, The University of Melbourne in its series Melbourne Institute Working Paper Series with number wp2006n12.Length: 36 pages
Date of creation: May 2006
Date of revision:
Handle: RePEc:iae:iaewps:wp2006n12
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Postal: Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Victoria 3010 Australia
Phone: +61 3 8344 2100
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Web page: http://www.melbourneinstitute.com/
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Keywords:Other versions of this item:
- Alfons Palangkaraya & Andreas Waldkirch, 2008. "Relative factor abundance and FDI factor intensity in developed countries," International Economic Journal, Korean International Economic Association, vol. 22(4), pages 489-508.
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-05-27 (All new papers)
- NEP-INT-2006-05-27 (International Trade)
References
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