IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

Transaction And Transfer Efficiencies And The Size Of Fdi

Listed author(s):


    (Centre for International Investment Studies, Shandong University of Finance, Jinan, Shandong, 250014, China)

Registered author(s):

    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.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL:
    Download Restriction: Access to full text is restricted to subscribers.

    File URL:
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal Division of Labor & Transaction Costs.

    Volume (Year): 02 (2007)
    Issue (Month): 02 ()
    Pages: 147-173

    in new window

    Handle: RePEc:wsi:dltcxx:v:02:y:2007:i:02:p:147-173
    Contact details of provider: Web page:

    Order Information: Email:

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    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.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.