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OECD's FDI Regulatory Restrictiveness Index: Revision and Extension to more Economies

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Author Info
Takeshi Koyama
Stephen S. Golub
Abstract

This paper provides a revised measure of regulatory restrictions on inward foreign direct investment (FDI)for OECD countries and extends the approach to 13 non-member countries. The methodology is largely similar to that adopted in the previous version of the OECD indicator and covers three broad categories of restrictions: limitations on foreign ownership, screening or notification procedures, and management and operational restrictions. The FDI restrictiveness indicator captures statutory deviations from "national treatment", i.e. discrimination against foreign investment. When combined with other factors having an influence on foreign investment decisions, it has proven to be a good predictor of countries’ inward FDI performance.

L’indice OCDE des restrictions réglementaires sur les investissements en provenance de l’étranger : Révisions et extension à plus de pays
Ce document présente une mesure révisée des restrictions réglementaires envers les influx des investissements directs étrangers (IDE) pour les pays de l’OCDE et étend la mesure à 13 pays non-membres. L’approche est dans son ensemble similaire à celle adoptée lors de la version antérieure de l’indicateur de l’OCDE, et couvre essentiellement trois catégories de restrictions : les limites sur la part de firmes domestiques pouvant être détenues par le capital étranger, les procédures d’examen sélectif et de notification, et les restrictions concernant la gestion et les opérations des entreprises. L’indicateur de restrictions réglementaires mesure les déviations par rapport au "traitement national" c’est-à-dire les discriminations à l’encontre des investissements étrangers. Combiné à d’autres facteurs ayant une influence sur les décisions d’investissement à l’étranger, cet indicateur contribue à expliquer la performance des pays en matière d’influx des IDE.

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Publisher Info
Paper provided by OECD, Economics Department in its series OECD Economics Department Working Papers with number 525.

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Date of creation: 06 Dec 2006
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Handle: RePEc:oec:ecoaaa:525-en

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Related research
Keywords: FDI restrictions; foreign direct investment; foreign ownership; contrôle étranger; investissement direct étranger; restrictions sur l'IDE;

Find related papers by JEL classification:
F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

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  1. Carolina Lennon, 2008. "Trade in services: Cross-border trade vs commercial presence. Evidence of complementarity," PSE Working Papers 2008-53, PSE (Ecole normale supérieure). [Downloadable!]
  2. Giuseppe Fiori & Giuseppe Nicoletti & Stefano Scarpetta & Fabio Schiantarelli, 2007. "Employment Outcomes and the Interaction Between Product and Labor Market Deregulation: Are They Substitutes or Complements?," Boston College Working Papers in Economics 663, Boston College Department of Economics, revised 08 Aug 2008. [Downloadable!]
    Other versions:
  3. Paul Boothe & Richard Roy, 2008. "Business Sector Productivity in Canada: What Do We Know?," International Productivity Monitor, Centre for the Study of Living Standards, vol. 16, pages 3-13, Spring. [Downloadable!]
  4. Bilgehan Karabay & Gernot Pulverer & Ewa Weinmüller, 2009. "Foreign Ownership Restrictions: A Numerical Approach," Computational Economics, Springer, vol. 33(4), pages 361-388, May. [Downloadable!] (restricted)
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This page was last updated on 2009-12-18.


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