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Multilateral disciplines for investment-related policies


  • Hoekman, Bernard
  • Saggi, Kamal


The authors evaluate the potential benefits of international disciplines on policies toward foreign direct investment for developing countries. They conclude that the case for initiating negotiations on investment policies is weak at present. Negotiating efforts that center on further liberalizing market access on a non-discriminatory basis - especially for services - are likely to be more fruitful in terms of economic welfare and growth. Existing multilateral instruments, although imperfect, are far from fully exploited and provide significant opportunities for governments opening further access to markets. The authors conclude that priority should be given to expanding coverage of the General Agreement on Trade in Services (GATS) before seeking to negotiate general disciplines on investment policies.

Suggested Citation

  • Hoekman, Bernard & Saggi, Kamal, 1999. "Multilateral disciplines for investment-related policies," Policy Research Working Paper Series 2138, The World Bank.
  • Handle: RePEc:wbk:wbrwps:2138

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    References listed on IDEAS

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    Cited by:

    1. Chang Hoon Oh & Michele Fratianni, 2010. "Do Additional Bilateral Investment Treaties Boost Foreign Direct Investments?," Mo.Fi.R. Working Papers 43, Money and Finance Research group (Mo.Fi.R.) - Univ. Politecnica Marche - Dept. Economic and Social Sciences.
    2. repec:zbw:wtowps:99-02 is not listed on IDEAS
    3. Bernard Hoekman & Kym Anderson, 2000. "Developing-Country Agriculture and the New Trade Agenda," Economic Development and Cultural Change, University of Chicago Press, vol. 49(1), pages 171-180.
    4. Agata Antkiewicz & John Whalley, 2006. "Recent Chinese Buyout Activity and the Implications for Global Architecture," NBER Working Papers 12072, National Bureau of Economic Research, Inc.
    5. Amy Glass & Kamal Saggi, 1999. "FDI Selection: Crowding Out and Distributional Effects," Working Papers 99-03, Ohio State University, Department of Economics.
    6. Langhammer, Rolf J., 1999. "The WTO and the millennium round: between standstill and leapfrog," Kiel Discussion Papers 352, Kiel Institute for the World Economy (IfW).
    7. Drabek, Zdenek & Payne, Warren, 2002. "The Impact of Transparency on Foreign Direct Investment," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 17, pages 777-810.
    8. Arvind PANAGARIYA, 2000. "The Millennium Round And Developing Countries: Negotiating Strategies And Areas Of Benefits," G-24 Discussion Papers 1, United Nations Conference on Trade and Development.
    9. Kamal Saggi, 2002. "Trade, Foreign Direct Investment, and International Technology Transfer: A Survey," World Bank Research Observer, World Bank Group, vol. 17(2), pages 191-235, September.
    10. Alessandro Turrini & Dieter M. Urban, 2001. "For Whom is MAI? A theoretical Perspective on Multilateral Agreements on Investments," Development Working Papers 151, Centro Studi Luca d'Agliano, University of Milano.
    11. Singh, Ajit, 2001. "Foreign direct investments and international agreements: a south perspective," MPRA Paper 24299, University Library of Munich, Germany.
    12. Michalopoulos, Constantine, 1999. "Developing country goals and strategies for the Millennium Round," Policy Research Working Paper Series 2147, The World Bank.
    13. Bernard Hoekman & Will Martín, 1999. "Some Market Access Issues for Developing Countries in a Millennium Round: Results from Recent World Bank Research," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 36(109), pages 947-978.
    14. Dieter M. Urban, 2006. "Multilateral Investment Agreement in a Political Equilibrium," CESifo Working Paper Series 1830, CESifo Group Munich.
    15. Egger, Peter & Pfaffermayr, Michael, 2004. "The impact of bilateral investment treaties on foreign direct investment," Journal of Comparative Economics, Elsevier, vol. 32(4), pages 788-804, December.
    16. Ajit Singh, 2005. "FDI, Globalisation and Economic Development - Towards Reforming National and International Rules of the Game," Working Papers wp304, Centre for Business Research, University of Cambridge.


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