Revisiting the relationship between governance and foreign direct investment

Pierre-Guillaume Méon and Khalid Sekkat

Brussels Economic Review/Cahiers Economiques de Bruxelles, 2007, vol. 50, issue 1, pages 41-61

Abstract: Using a sample of 96 countries over the nineties, this paper examines the extent to which different dimensions of governance affect FDI inflows. It considers six aspects of governance. The results of a least-squares estimation suggest a positive relationship between institutional quality and FDI. However, when the issue of the endogeneity of governance is tackled thanks to 2SLS regressions, the relationship appears much weaker.

Keywords: Institutions; Governance; Foreign direct investment (search for similar items in EconPapers)
JEL-codes: C33 F21 F41 O17 (search for similar items in EconPapers)
Date: 2007
View citations in EconPapers

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: Revisiting the Relationship between Govenance and Foreign Direct Investment (2007)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:bxr:bxrceb:y:2007:v:50:i:1:p:41-61

Ordering information: This journal article can be ordered from

Access Statistics for this article

Brussels Economic Review/Cahiers Economiques de Bruxelles is edited by Michele Cincera

More articles in Brussels Economic Review/Cahiers Economiques de Bruxelles from Editions du DULBEA, Université libre de Bruxelles, Department of Applied Economics (DULBEA)
Contact information at EDIRC.
Series data maintained by Michele Cincera ().