FDI and trade: complements and substitutes
This paper presents a non-monotonic relationship between foreign direct investment and trade based on the idea that, although FDI eliminates trade costs on the final good, the investing firm has to bear increased trade costs on an intermediate good.
|Date of creation:||2006|
|Contact details of provider:|| Postal: Department of Economics, ISEG - School of Economics and Management, University of Lisbon, Rua do Quelhas 6, 1200-781 LISBON, PORTUGAL|
Web page: https://aquila1.iseg.ulisboa.pt/aquila/departamentos/EC
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- Horstmann, Ignatius J. & Markusen, James R., 1992. "Endogenous market structures in international trade (natura facit saltum)," Journal of International Economics, Elsevier, vol. 32(1-2), pages 109-129, February.
- Neary, J Peter, 2002.
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- José Pedro Pontes, 2004. "A theory of the relationship between foreign direct investment and trade," Economics Bulletin, AccessEcon, vol. 6(2), pages 1-8.
- José Pedro Pontes, 2003. "A Theory of the Relationship Between Foreign Direct Investment and Trade," Working Papers Department of Economics 2003/11, ISEG - School of Economics and Management, Department of Economics, University of Lisbon.
- José Pedro Pontes, 2004. "A theory of the relationship between foreign direct investment and trade," ERSA conference papers ersa04p47, European Regional Science Association.
- Pain, Nigel & Wakelin, Katharine, 1998. "Export Performance and the Role of Foreign Direct Investment," The Manchester School of Economic & Social Studies, University of Manchester, vol. 66(0), pages 62-88, Supplemen.
- Bettina Becker & Nigel Pain, 2008. "What Determines Industrial R&D Expenditure In The Uk?," Manchester School, University of Manchester, vol. 76(1), pages 66-87, 01.
- Nigel Pain, 2003. "What Determines Industrial R&D Expenditure in the UK?," NIESR Discussion Papers 211, National Institute of Economic and Social Research.
- Helpman, Elhanan, 1984. "A Simple Theory of International Trade with Multinational Corporations," Journal of Political Economy, University of Chicago Press, vol. 92(3), pages 451-471, June.
- Helpman, Elhanan, 1984. "A Simple Theory of International Trade with Multinational Corporations," Scholarly Articles 3445092, Harvard University Department of Economics.
- S. Lael Brainard, 1993. "A Simple Theory of Multinational Corporations and Trade with a Trade-Off Between Proximity and Concentration," NBER Working Papers 4269, National Bureau of Economic Research, Inc.
- repec:ebl:ecbull:v:6:y:2004:i:2:p:1-8 is not listed on IDEAS Full references (including those not matched with items on IDEAS)
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