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What Attracts Foreign Direct Investment: A Closer Look

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  • Nabamita Dutta
  • Sanjukta Roy

Abstract

It is rational to assume that minimal trade barriers (tariffs and quotas), a bigger trade sector, lower interest rate regulations, freer international capital market, lower credit and labour market regulations will make investment in a country more lucrative for foreign investors. We confirm this and show the prevalence of non‐linearity in the relationships.

Suggested Citation

  • Nabamita Dutta & Sanjukta Roy, 2009. "What Attracts Foreign Direct Investment: A Closer Look," Economic Affairs, Wiley Blackwell, vol. 29(3), pages 81-86, September.
    • Handle: RePEc:bla:ecaffa:v:29:y:2009:i:3:p:81-86
    DOI: 10.1111/j.1468-0270.2009.01925.x
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    References listed on IDEAS

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    Cited by:

    1. Irfan Ahmad Khan & Mazhar Mughal & Junaid Ahmed & Hongbo Cai, 2017. "Home and Host country determinants of financial investment flows to Pakistan," Economics Bulletin, AccessEcon, vol. 37(1), pages 361-376.
    2. Nabamita Dutta & Deepraj Mukherjee, 2018. "Can financial development enhance transparency?," Economic Change and Restructuring, Springer, vol. 51(4), pages 279-302, November.

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