IDEAS home Printed from https://ideas.repec.org/a/wsi/serxxx/v66y2021i01ns0217590819500681.html
   My bibliography  Save this article

How Do Investors Respond To Territorial Disputes? Evidence From The South China Sea And Implications On Philippines Economic Strategy

Author

Listed:
  • ALVIN CAMBA

    (Department of Sociology, The Johns Hopkins University, Baltimore, Maryland, USA)

  • JANICA MAGAT

    (Department of Political Science, Texas A&M University, College Station, Texas, USA)

Abstract

How do territorial disputes affect bilateral foreign direct investment (FDI) between claimant states? Using a difference model, we find that a regime’s position on the South China Sea (SCS) significantly impacts Chinese FDI. We used a novel dataset on firm registrations in the Philippines, finding that the annual number of new firm entrants with Chinese investment significantly increases when maritime border disputes are stabilized. In contrast, we observe that conflictual relations in the maritime borders tend to decrease the number of new firms. We also notice that disputes do not influence FDI from non-claimant states.

Suggested Citation

  • Alvin Camba & Janica Magat, 2021. "How Do Investors Respond To Territorial Disputes? Evidence From The South China Sea And Implications On Philippines Economic Strategy," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 66(01), pages 243-267, March.
    • Handle: RePEc:wsi:serxxx:v:66:y:2021:i:01:n:s0217590819500681
    DOI: 10.1142/S0217590819500681
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S0217590819500681
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1142/S0217590819500681?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    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:wsi:serxxx:v:66:y:2021:i:01:n:s0217590819500681. 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: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/ser/ser.shtml .

    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.