Transaction And Transfer Efficiencies And The Size Of Fdi
This paper develops a general equilibrium model with endogenous international economic structure and international division of labor to identify the forces that determine the size of foreign direct investment (FDI). It shows that the volume of FDI is affected positively by host country's transaction efficiency for final goods and ordinary labor, source country's transaction efficiency for managerial and technical professionals, as well as international transfer efficiency for cross-border movement of managerial and technical professionals; and negatively by difficulty in the production of intermediate goods and international transaction efficiency for traded goods. While consistent with some established hypotheses, the findings have cleared up some misunderstandings in the literature on FDI. It has methodological and theoretical contributions and its findings have rich policy implications in the era of globalization.
Volume (Year): 02 (2007)
Issue (Month): 02 ()
|Contact details of provider:|| Web page: http://www.worldscinet.com/dltc/dltc.shtml|
|Order Information:|| Email: |
When requesting a correction, please mention this item's handle: RePEc:wsi:dltcxx:v:02:y:2007:i:02:p:147-173. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Tai Tone Lim)
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.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.