Foreign Direct Investment, Economic Performance and Trade Liberalisation

Authors: Greenaway, David1; Sapsford, David2; Pfaffenzeller, Stephan2

Source: The World Economy, Volume 30, Number 2, February 2007 , pp. 197-210(14)

Publisher: Blackwell Publishing

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Abstract:

In a number of influential papers published by V. N. Balasubramanyam and collaborators during the decade of the 1990s, compelling arguments and supporting evidence was presented to indicate that export-promoting trade and investment strategies attract more and more productive inflows of foreign capital than do import-substituting strategies. This paper revisits these hypotheses in the context of more recent cross-section data and reports evidence to suggest that the earlier findings are robust.

Document Type: Research article

DOI: 10.1111/j.1467-9701.2007.00887.x

Affiliations: 1: University of Nottingham and 2: University of Liverpool

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