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Host Country’s Governance and the Size of Foreign Investors

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Author Info
Vahe Lskavyan ()
Mariana Spatareanu ()

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Abstract

This paper tests whether smaller foreign investors are more sensitive to the quality of host country’s governance than larger investors. This may be the case as smaller foreign firms have less bargaining power, undertake more innovative activities and/or are more sensitive to uncertainty and risk. The results lend support to the hypothesis.

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File URL: http://andromeda.rutgers.edu/~econnwk/workingpapers/2007-004.pdf
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Publisher Info
Paper provided by Department of Economics, Rutgers University, Newark in its series Working Papers Rutgers University, Newark with number 2007-004.

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Length: 10
Date of creation: May 2007
Date of revision:
Handle: RePEc:run:wpaper:2007-004

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Related research
Keywords: foreign direct investment governance property rights

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

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Ades, Alberto & Di Tella, Rafael, 1997. "National Champions and Corruption: Some Unpleasant Interventionist Arithmetic," Economic Journal, Royal Economic Society, vol. 107(443), pages 1023-42, July. [Downloadable!] (restricted)
  2. Shang-Jin Wei, 2000. "How Taxing is Corruption on International Investors?," The Review of Economics and Statistics, MIT Press, vol. 82(1), pages 1-11, February. [Downloadable!] (restricted)
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  3. Acs, Zoltan J & Audretsch, David B, 1988. "Innovation in Large and Small Firms: An Empirical Analysis," American Economic Review, American Economic Association, vol. 78(4), pages 678-90, September. [Downloadable!] (restricted)
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This page was last updated on 2008-9-18.

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