IDEAS home Printed from https://ideas.repec.org/a/cup/buspol/v20y2018i01p38-69_00.html
   My bibliography  Save this article

The dissuasive effect of U.S. political influence on Chinese FDI during the “Going Global†policy eraâ€

Author

Listed:
  • Duanmu, Jing-Lin
  • Urdinez, Francisco

Abstract

Building on the growing debate on political determinants of foreign direct investment, we investigate the relationship between U.S. political influence and the global distribution of China's outward foreign direct investment (OFDI). Using country-level and firm-level datasets of China's greenfield investment, we find strong evidence that Chinese state controlled firms strategically reduce investment in host countries under significant political influence of the United States. Our results are robust to alternative specification and two falsification tests. The findings suggest that the Chinese government uses FDI as a way of economic diplomacy.

Suggested Citation

  • Duanmu, Jing-Lin & Urdinez, Francisco, 2018. "The dissuasive effect of U.S. political influence on Chinese FDI during the “Going Global†policy eraâ€," Business and Politics, Cambridge University Press, vol. 20(1), pages 38-69, March.
    • Handle: RePEc:cup:buspol:v:20:y:2018:i:01:p:38-69_00
    as

    Download full text from publisher

    File URL: https://www.cambridge.org/core/product/identifier/S1469356917000052/type/journal_article
    File Function: link to article abstract page
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pei Sun & Jonathan P. Doh & Tazeeb Rajwani & Donald Siegel, 2021. "Navigating cross-border institutional complexity: A review and assessment of multinational nonmarket strategy research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(9), pages 1818-1853, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cup:buspol:v:20:y:2018:i:01:p:38-69_00. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kirk Stebbing (email available below). General contact details of provider: https://www.cambridge.org/bap .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.