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Beyond FDI: The Influence of Bilateral Investment Treaties on Debt

Listed author(s):
  • Wasseem Mina

    ()

    (Department of Economics and Finance, College of Business and Economics, United Arab Emirates)

This paper examines theoretically and empirically the role of political risk guarantees, which bilateral investment treaties serve, in debt accumulation in low and middle income countries. The paper empirically finds that signed bilateral investment treaties with OECD countries have a positive influence on total and guaranteed debt accumulation, under system GMM and OLS estimation methodologies. Results suggest that the role of bilateral investment treaties extends beyond attracting FDI to international lending.

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File URL: http://icepp.gsu.edu/files/2015/03/ispwp1325.pdf
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Paper provided by International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University in its series International Center for Public Policy Working Paper Series, at AYSPS, GSU with number paper1325.

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Length: 37 pages
Date of creation: 03 Dec 2013
Handle: RePEc:ays:ispwps:paper1325
Contact details of provider: Phone: 404-413-0235
Fax: 404-413-0244
Web page: http://aysps.gsu.edu/isp/index.html

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